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Air Taxi Rivals Clash Over China Ties and Tariffs
10 Mar
Summary
- Archer alleges Joby used Chinese subsidiary for components.
- Joby accused of misclassifying Chinese goods to evade tariffs.
- Countersuit follows Joby's trade secret theft allegations.

Archer Aviation has filed a counterclaim against competitor Joby Aviation, alleging Joby defrauded the U.S. government by misrepresenting its manufacturing origins. Archer claims Joby utilized a Chinese subsidiary for key components and circumvented U.S. tariffs by mislabeling Chinese-sourced aircraft materials as everyday consumer goods like hair clips.
This legal action escalates the rivalry, following Joby's November lawsuit accusing Archer of trade secret theft by a former employee. Both companies are developing electric air taxis and defense applications, competing for government contracts, including those from a recent executive order aimed at accelerating air taxi development.
Archer's complaint references President Trump's executive order on air taxi integration. Joby, which has extensive ties to China according to Archer, has secured significant U.S. government funding. Both companies recently applied for a pilot program to advance electric vertical takeoff and landing aircraft, with eight proposals approved on Monday.




