Ryanair could register aircraft in the UK to avoid EU tariffs levied on US deliveries as part of the ongoing global trade war, reports the Financial Times (FT). 

According to the FT, Michael O’Leary made the remarks to analysts in recent quarterly profits call in which Ryanair announced that it is planning on taking delivery of 29 new 737 Max 8 aircraft to increase traffic growth. 

The fear is that Boeing could face 30 per cent tariffs on the deliveries if the EU imposes retaliatory measures in the wake of US President Donald Trump’s recent pronouncement on the issue. The US President has said he will impose on imports from the bloc on August 1.  

As the FT reports: “O’Leary stressed that Ryanair had fixed-price agreements with Boeing and insisted the manufacturer would be liable for any tariffs. But he added that the airline would still seek to ensure no duties were levied.” 

O’Leary told analysts: “We would want to work with Boeing to minimise the imposition of tariffs.” He went on to say: “We don’t actually need those aircraft until summer of 2026. So we might, working together with Boeing, delay some or all of those deliveries while the Americans and the Europeans resolve any tariff dispute.”  

He added: “There’s a possibility we could take some of those aircraft on to the UK register where we have Ryanair UK and there’s no tariffs on commercial aircraft in the UK-US trade agreements.”  

The Ryanair CEO remarks are a clear sign that tariffs are getting into the head of boardroom leaders global. As Russell has reported across a range of blogs and trade threat intelligence reports this year, we are entering into a brave new world of global trade where the old certainties no longer apply. 

It promises to be a time of major economic volatility with implications for corporates and their insurance partners alike. However, O’Leary said he expected the US president to back off immediately imposing tariffs. “What we suspect will happen is, I think, Trump will continue to probably delay the imposition of tariffs on August 1 into maybe September, October until a trade deal is agreed with the Europeans,” he said.