Tariffs are causing Alaska Airlines to cancel flights. Here's why.

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Tariffs connected imported alloy and aluminum takes effect successful U.S.

Tariffs connected imported alloy and aluminum takes effect successful U.S. 01:49

Alaska Airlines is canceling much than a twelve flights a time arsenic tariffs hinder its quality to judge transportation of caller aircraft, according to the carrier.

The Seattle, Washington-based hose said it wouldn't instantly judge transportation of 2 Embraer 175 determination jets successful bid to debar incurring the other tariff-related costs. The craft were meant to service Horizon Air, a determination subsidiary of Alaska Airlines. 

President Trump's tariff docket has upended supply chains for a scope of businesses, and has forced galore companies to raise prices connected consumers successful bid to support their margins. The aviation manufacture has besides warned that the levies volition impact its business.   

"We profoundly regret the interaction this concern volition person connected our guests this summer," Alaska Airlines said successful a connection to CBS News Wednesday. 

"Amid the ongoing uncertain economical environment, we are focused connected controlling what we tin power — including costs, productivity, operational show and taking attraction of our guests to the champion of our ability. As portion of this effort to power our costs, Alaska volition not judge further costs imposed by tariffs passim our proviso chain," it added.

Without the caller aircraft, Alaska said it indispensable cancel 14 flights a time done the extremity of July. Horizon operates each of its flights connected Embraer jets. Alaska operates an all-Boeing fleet. 

The delayed craft were expected to get from Brazil successful May. Brazilian imports to the United States person been taxable to a 10% tariff since April.

Delta Air Lines besides took steps to debar paying tariffs connected caller craft earlier this year. In April, it had caller Airbus A350 airlines delivered from France to Japan, and flew the planes internationally first, earlier bringing them to the U.S. Because the craft were not caller connected accomplishment successful the U.S., the hose was not connected the hook for paying tariffs connected them.

Which routes is Alaska canceling?

The caller planes had been scheduled to get by the extremity of May and were expected to spell into work during the summertime play for Horizon, which serves the Pacific Northwest, Alaska, California, Colorado, Utah and occidental Canada. 

Alaska said it is cutting routes that are served by aggregate flights, truthful that nary azygous way is eliminated entirely, adjacent temporarily. 

"When deciding which flights to cancel, we enactment our guests astatine the halfway of consideration. We don't instrumentality these decisions lightly arsenic we cognize it means disruption for our guests and their question plans. We assessed our web and protected the communities we service that already person constricted service. Our teams are moving to reaccommodate each impacted guests connected the adjacent champion enactment for their question plans," Alaska said successful a statement. 

Kris Van Cleave contributed to this report.

Megan Cerullo

Megan Cerullo is simply a New York-based newsman for CBS MoneyWatch covering tiny business, workplace, wellness care, user spending and idiosyncratic concern topics. She regularly appears connected CBS News 24/7 to sermon her reporting.

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