The dispute was over the sale of Bombardier's roughly 100-seat C Series jets, which Boeing complained to the US government were sold to Delta below their cost of production and that the program received illegal subsidies from Canadian government. Boeing won a preliminary victory, when regulators proposed a tariff of almost 300 percent on any of the jets imported into the U.S.
In a statement, Bombardier said: "Today's decision is a victory for innovation, competition, and the rule of law".
Chicago-based Boeing said cancellation of the anti-dumping duty was disappointing and that it would review the ruling when its full details are released.
Delta said it was "pleased by the ITC's ruling rejecting Boeing's anticompetitive attempt to deny USA airlines and the U.S. traveling public access to the state-of-the-art 110-seat CS100 aircraft".
After stunning the aviation world in October with its deal to bail out Bombardier by acquiring a majority stake in the CSeries, Airbus announced it will build an assembly line in Mobile, Alabama, to build the planes for the USA market.
If the duties had been maintained, he said, it could have closed the US market to the C Series, potentially putting the whole program in jeopardy, "which could result in thousands of job losses here in the Montreal area, Mirabel, Dorval, St-Laurent".
Most analysts expected the ITC to side with Boeing, just as it has recently sided with US manufacturers of solar panels and washing machines.
The agency will determine if the introduction of the C Series into the US harms Boeing.
After supporters poor-mouthed its chances, aircraft maker Bombardier celebrated a victory over Boeing in an global trade dispute with ramifications in Alabama. A senior United Kingdom government minister had previously said that it expected the ITC to back the commerce department.
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The case report will be made available March 2 on the ITC website.
Commissioners voted 4-0 that Boeing didn't suffer harm from prospective imports of C Series planes.
Bombardier can begin shipping C Series jets to Delta Air Lines immediately following a trade tribunal ruling. Bombardier has countered that Boeing benefits from its own subsidies in the US, which include federal contracts and tax breaks from state governments.
"I hope that the matter is now closed and that the company can secure the future of the C-Series, and by extension the workforce in their new partnership with Airbus". What's not certain is whether this is good news, or bad news, for the Port City. Quebec invested $1 billion in 2016 for a minority stake in the C Series.
The Montreal-based company also says it is a victory for USA airlines and the American travelling public.
Bombardier in October previous year sold a majority stake in the C Series program to Europe's Airbus SE for no cost.
In a statement, Boeing said it was "disappointed" by the decision.
In its arguments before the trade commission, Boeing's lawyers cast doubt on the idea that Airbus would set up a production line in Alabama, arguing that the company could change its plans.
On Friday the ITC said U.S. companies and workers were not being harmed by sales of 100- to-150-seat aircraft from Canada.