Trump’s Post-Inauguration Agenda: How the President-Elect’s Decisions Could Affect the Aviation Industry
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APEX Insight: With Donald Trump set to officially become the 45th President of the United States on January 20, APEX Media investigates how his stance on various high-profile issues could affect the aviation industry.
As he settles in at the Oval Office, President-elect Donald Trump will be making decisions that could have a significant impact on the aviation industry. These are some of the pressing points that will be waiting in Trump’s inbox.
US-Cuba Relations
US flights to Cuba have resumed, generating a blend of excitement and optimism in the American travel industry; but Trump has indicated that he may “terminate the deal” once in office. Some Cubans have expressed concerns that Trump would “turn to ashes all the steps that Obama has made toward better relations.”
If Cuba is unwilling to make a better deal for the Cuban people, the Cuban/American people and the U.S. as a whole, I will terminate deal.
— Donald J. Trump (@realDonaldTrump) November 28, 2016
Iran Nuclear Deal
Trump has spoken against the lifting of Iran sanctions, which facilitated multibillion-dollar deals with Boeing and Airbus. Iran’s deputy transport minister Asghar Fakhrieh-Kashan said that Iran will seek return of prepayments with interest if Trump squashes the deal.
The Trans-Pacific Partnership Agreement
President-elect Trump threatened the Trans-Pacific Partnership Agreement (TPPA) in November when he made it a priority item in his address to the nation on YouTube. He described the partnership as “a potential disaster for our country” and said he would instead “negotiate fair bilateral trade deals.”
The TPPA has received endorsement from the aviation industry, including the Aerospace Industries Association (AIA), which has stated that “nearly 40 percent of US exports and imports are made with the countries participating in this agreement.” AIA President and CEO David F. Melcher brought the association’s policy positions to the President-elect’s attention in a letter congratulating Donald Trump and the 115th Congress for their election victories.
Air Force One
Trump has threatened to cancel the new Air Force One deal, deeming its $4-billion dollar price tag too expensive. Boeing issued a statement clarifying that it is under contract to “help determine [Air Force One] capabilities” for $170 million, but Trump’s figure is not entirely inaccurate. The full scope of the program would cost $4 billion – but the money wouldn’t all go to Boeing. The full amount includes the communications, security and other critical systems provided by second-tier suppliers. Boeing tried to restore good relations with the President-elect, committing to a donation of $1 million towards the inauguration ceremony, as the company has done for previous presidents.
Boeing is building a brand new 747 Air Force One for future presidents, but costs are out of control, more than $4 billion. Cancel order!
— Donald J. Trump (@realDonaldTrump) December 6, 2016
Norwegian Air International Foreign Air Carrier Permit
The US Department of Transportation’s approval of Irish low-cost carrier Norwegian Air International’s (NAI) service to the US is another contentious topic which will be on Trump’s desk. Those opposed to NAI, including several US carriers and their unions, are urging Trump to intervene and reverse the approval. As of today, Trump’s transition team hasn’t officially issued a comment on the matter.