financetom
Business
financetom
/
Business
/
Exclusive-Aircraft supplier Howmet may halt orders if hit by Trump tariffs, letter says
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
Exclusive-Aircraft supplier Howmet may halt orders if hit by Trump tariffs, letter says
Apr 4, 2025 3:43 PM

(Reuters) - Howmet Aerospace ( HWM ), which supplies parts for planes built by Airbus and Boeing ( BA ), may halt some shipments if they are impacted by tariffs announced by U.S. President Donald Trump, according to a letter seen by Reuters.

Pittsburgh-based Howmet said in the letter to customers that it has declared a force majeure event, a legal practice that allows parties to a contract to avoid their obligations if hit by unavoidable and unpredictable external circumstances.

"Howmet will be excused from supplying any products or services that are impacted by this declared national emergency and/or the tariff executive order," Howmet wrote in the letter.

Howmet declined to comment.

Howmet is a supplier of critical metal components used across the $150 billion jetliner industry.

Boeing ( BA ) and Airbus did not immediately reply to requests for comment on the letter, which three industry sources said went to multiple firms across the aerospace sector.

It appeared to be the first such maneuver by a major aerospace company since the tariff announcement, one of the sources said.

Howmet's rare legal declaration does not mean that supplies will automatically be halted or disrupted but opens the door to the supplier potentially claiming it cannot meet its contracts if impacted by the emergency order.

The letter left room for negotiations over sharing the cost of tariffs, saying Howmet would work with customers "including discussing your interest in alleviating the impact of the Tariff Executive Order on Howmet."

The three industry sources said any successful declaration of force majeure could ripple through the supply chain as companies attempt to pass on the burden.

The move is the latest wrinkle in a hard-hit aerospace supply chain where some companies now face higher costs due to U.S. tariffs on imported aluminum and steel along with fresh duties expected to hit imports from other countries.

On Wednesday, Trump cited trade deficits as a national emergency when he announced tariffs with rates ranging from 10% to around 50%, escalating a dispute that has rattled investors and fed fears of a coming recession.

Aerospace companies typically contest such maneuvers, two of the sources said, adding that the success of Howmet's move would hinge on the degree to which the tariffs were unpredictable, given that Trump had referred to them in his election campaign last year.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Static Media Expands Significant Footprint In Tech, Science, and Entertainment Verticals with Acquisition of TVLine and BGR
Static Media Expands Significant Footprint In Tech, Science, and Entertainment Verticals with Acquisition of TVLine and BGR
Oct 20, 2025
INDIANAPOLIS, Oct. 20, 2025 /PRNewswire/ -- Static Media is pleased to announce the acquisition of BGR.com and TVLine.com from Penske Media Corporation. The additions of these brands will further enhance Static Media's diverse portfolio, which currently includes Islands, The List, Tasting Table, House Digest, Chowhound, reaching a combined audience of over 220 million monthly visits. The additions of these brands will further enhance...
Century Lithium's Demonstration Plant in Nevada Produces First Lithium Hydroxide
Century Lithium's Demonstration Plant in Nevada Produces First Lithium Hydroxide
Oct 20, 2025
10:59 AM EDT, 10/20/2025 (MT Newswires) -- Century Lithium ( CYDVF ) said Monday that its demonstration plant in Amargosa Valley, Nevada, has produced its first lithium hydroxide from lithium carbonate derived from the company's Angel Island lithium project in the state. The company said the lithium hydroxide samples were produced on-site in a batch process using conventional liming conversion...
Activist Investor Seeks Strategic Overhaul At Contact Lens Maker Cooper, Suggests Merger With Bausch + Lomb
Activist Investor Seeks Strategic Overhaul At Contact Lens Maker Cooper, Suggests Merger With Bausch + Lomb
Oct 20, 2025
Activist investor Jana Partners has reportedly taken a stake in The Cooper Companies ( COO ) and is pressing the medical-device maker to evaluate strategic alternatives — including a potential merger between its contact-lens division and Bausch + Lomb ( BLCO ) . CooperCompanies approved a $1 billion increase in its share repurchase program to $2 billion in September. Citing...
Domino's Pizza Likely to Sustain Share Gains Momentum, Oppenheimer Says
Domino's Pizza Likely to Sustain Share Gains Momentum, Oppenheimer Says
Oct 20, 2025
10:58 AM EDT, 10/20/2025 (MT Newswires) -- Domino's Pizza's (DPZ) share gains amid a weak macro environment are likely to continue, with an enhanced in-store technology and upcoming brand refresh providing the company with competitive advantages, Oppenheimer said in a note Monday. The company has gained about 100 basis points in market share annually over the last 10 years, while...
Copyright 2023-2026 - www.financetom.com All Rights Reserved