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FAA Expects $100M Tariff Cost on $12.5B Upgrade
Business
— Sep 17, 2026
The FAA estimates roughly $100 million in tariff-related costs for the $12.5 billion air-traffic-control modernization, driven largely by radar equipment from RTX’s Collins Aerospace and Indra Group moving production to U.S. facilities amid ongoing budget overruns that have raised Phase One costs to about $16 billion. Lawmakers and analysts note tariffs complicate the pipeline for a major infrastructure program and may influence future funding and procurement decisions.
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