FAA sees $100 million impact from tariffs on air traffic control modernization plan

Key facts

• The FAA expects tariffs to impact its air traffic control modernization plan by approximately $100 million.
• The agency's modernization plan is valued at over $12.5 billion.
• Raytheon and Indra Group are moving radar production to U.S. facilities.

The Federal Aviation Administration anticipates that tariffs will add approximately $100 million to the cost of its air traffic control modernization efforts, a plan valued at over $12.5 billion. FAA Administrator Bryan Bedford announced that two key radar suppliers, Raytheon and Indra Group, are relocating their production facilities to the United States in Florida and Kansas City, respectively, to address these tariff-related cost increases.