Pilatus Aircraft, an internationally recognized Swiss manufacturer of business and training aircraft, has announced a temporary suspension of deliveries to the United States of its popular aircraft models, the PC-12 and PC-24. This decision was the result of the United States’ implementation of high import tariffs on products from Switzerland, which reached 39%. The United States is an important market for the corporation, contributing to approximately 40% of the aircraft’s production and sales volume.
Pilatus had delivered 47 PC-12 NGX and 27 PC-24 aircraft in 2022, with approximately 62% of the total deliveries being completed through its U.S. subsidiary in Broomfield, Colorado, as of the end of September. Pilatus has delivered nearly 2,000 units of the PC-12 since it was founded, with the 2,000th unit being delivered in spring 2023. As of early 2023, the company was on the brink of delivering the 200th PC-24. For example, Pilatus shipped 96 PC-12s and 51 PC-24s worldwide in 2024, indicating consistent demand.
Pilatus noted that the new tariffs considerably erode the competitiveness of their products in the American market, resulting in a substantial increase in the final cost of the aircraft for customers and significant challenges in the planning of the company’s future development in this region.
The implementation of these tariffs proved to be a severe setback for Pilatus, as the American market is of paramount importance. The company’s comparative advantages with local and European competitors were significantly diminished by the high additional costs, which resulted in an increase in uncertainty among current and potential customers. The Embraer Phenom 300 from Brazil and the Cessna Citation CJ4 from the United States are the main competitors of the Pilatus PC-24 light business aircraft. In terms of operational versatility, payload capacity, cabin size, speed, and range, these aircraft are in competition. The PC-24 stands out by its capacity to operate from short and unpaved runways, a feature that is not as common among its competitors. This capability provides it with an advantage in terms of versatility and access to remote locations. Nevertheless, the market is highly competitive due to the fact that the Phenom 300 and Citation CJ4 provide competitive cabin features, payload, and speed.
The Pilatus PC-12, a single-engine turboprop that is favored for its cost efficiency, versatility, and ability to access numerous small and regional airports, faces a more diverse array of competitors. These include the Beechcraft King Air series (particularly the King Air 350) in the United States and regional turboprops from manufacturers such as Diamond Aircraft (e.g., DA42, DA62) in Europe. The PC-12 occupies an exclusive position due to its cabin capacity, performance, and operating cost; however, it is in competition with these business turboprops.
This requires the organization to explore methods for adapting to and mitigating adverse outcomes. One significant development has been the expedited construction of an assembly facility in Sarasota, Florida, as part of Pilatus’s efforts to localize production. This measure will enable the company to mitigate the effects of import tariffs by directly manufacturing a portion of its aircraft in the United States. This will lower product prices and improve the market’s competitive landscape.
Furthermore, Pilatus is making significant efforts to ensure the livelihoods of its more than 3,000 employees. Various alternatives are being evaluated, such as the implementation of natural staff reductions and the transition to reduced working hours. The company acknowledges that it is making every effort to minimize social impact and retain qualified personnel, despite the current challenging situation.
Negotiations are currently underway between the governments of Switzerland and the United States to reduce trade barriers and eliminate or reduce high tariffs. The Swiss government has expressed concern that the implementation of excessively stringent tariffs could negatively affect trade and cooperation between Switzerland and the United States. Pilatus is also exploring the potential to boost sales and deliveries of its aircraft to other markets to offset the transient decline in the American market while this process persists.
Pilatus has not publicly disclosed any specific plans regarding the availability of spare parts for its extant PC-12 and PC-24 aircraft in response to the new U.S. import tariffs. Nevertheless, this action is likely to be intended to support not only new aircraft production but also ongoing maintenance, including the supply of spare parts, as the company is accelerating the establishment of local assembly and production facilities in the U.S. (particularly in Sarasota, Florida) to mitigate tariff impacts. The localization process should assist in the preservation of cost control and availability for spare parts that are used to service extant fleets in the U.S. market, despite the import tariffs. Spare parts would likely be subject to the same import tariffs if they were not produced or assembled locally, which could result in increased costs or supply delays.
This information is corroborated by recent news reports and analytical publications that emphasize the critical role of the United States in Pilatus’s supply structure and the necessity of reorientation in response to the new economic conditions.
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