In a gritty, high-stakes plea, GE Aerospace CEO Larry Culp stood before industry leaders in Washington on April 16, 2025, and laid it bare: tariffs are choking the aviation sector, and it’s time to rip them out. Speaking at an aerospace summit, Culp didn’t mince words, calling for a return to duty-free trade that’s kept planes in the air and costs down for decades. His urgency comes as whispers of a renewed trade war—sparked by former President Donald Trump’s tariff threats—rattle an industry already battered by supply chain snags and rising costs.
Culp’s case is rooted in cold, hard numbers. GE Aerospace, a titan in jet engine manufacturing, faces a $500 million hit this year alone if tariffs stick. That’s not pocket change, even for a company pumping out engines for Boeing and Airbus. The CEO warned that these costs won’t just sting GE—they’ll ripple. Airlines, already squeezing pennies, could see higher ticket prices. Manufacturers might cut jobs. And passengers? They’ll foot the bill, whether they like it or not.
The aviation sector’s duty-free status, a cornerstone since the 1990s, has let parts and planes cross borders without the taxman’s bite. It’s why a turbine blade forged in Ohio can zip to a factory in France, no extra cost. But Trump’s trade rhetoric, amplified in recent months, threatens to upend that. His team has floated tariffs as high as 20% on imports, a move Culp called “a gut punch” to an industry built on global supply chains. GE’s engines alone rely on parts from 30 countries—tariffs would snarl that flow, fast.
Culp’s not alone in sounding the alarm. The Aerospace Industries Association, in a March 2025 report, pegged potential tariff costs industry-wide at $2 billion annually. That’s enough to ground new projects or delay deliveries, especially for smaller suppliers already reeling from post-COVID shortages. On April 18, the U.S. Commerce Department acknowledged the risks, noting in a brief that tariffs could “disrupt aerospace competitiveness” against rivals like China’s COMAC.
Still, the push for tariff-free trade faces headwinds. Trump’s camp argues tariffs protect American jobs, pointing to steel and aluminum duties that boosted domestic production in 2018. But Culp countered that aviation isn’t steel—it’s a web of precision parts, with 60% of GE’s U.S.-made engines relying on foreign components. Slap tariffs on those, and you’re not saving jobs—you’re hiking costs and risking delays.
The CEO’s plea landed on X, where GE Aerospace’s official account posted on April 17: “Tariffs threaten our industry’s global edge. We need zero-duty trade to keep aviation soaring.” The post, viewed 1.2 million times, sparked a flurry of replies, though Culp stayed above the fray, sticking to his summit speech and follow-up talks with lawmakers.
On the ground, the stakes are clear. GE’s Ohio plants, employing 8,000, churn out engines for the Boeing 737 MAX. A tariff-driven price hike could slow orders, denting jobs and local economies. Across the Atlantic, Airbus’s supply chain, which leans on GE, faces similar risks. The International Air Transport Association, in an April 20 statement, warned that tariffs could add $10 billion in costs for airlines by 2027, with passengers seeing fares rise 5-7%.
Culp’s pitch isn’t just about dollars—it’s about keeping the skies open. Aviation moves 1.4 billion passengers a year, and tariffs could clip those wings. For now, he’s lobbying hard, meeting with Senate trade committees and rallying CEOs to join the fight. Whether Washington listens is another story. Congress hasn’t touched tariff reform since December 2024, and with midterm elections looming, bold moves are scarce.
The facts stack up fast. GE Aerospace employs 52,000 globally, with $31 billion in 2024 revenue. The U.S. aviation sector supports 1.2 million jobs. Tariffs, if imposed, start January 2026 under current proposals. Culp’s summit speech drew 400 industry execs. The Commerce Department’s brief was filed April 18. The Aerospace Industries Association’s report surveyed 200 firms.