$9.5 Billion in Iran Boeing Deals Now Dead, Airbus Worse Off

Mike Mish Shedlock

Boeing and Airbus are among the first casualties in Trump's cancellation of the nuclear deal with Iran.

Following President Donald Trump’s scrapping of the Iran nuclear deal Tuesday and his imposition of what he called “powerful” sanctions, Boeing’s prospective sale to Iran of jets worth $9.5 billion is effectively dead for the foreseeable future.

For Boeing, it’s a lost opportunity rather than a blow to current plans.

In contrast, rival European jet maker Airbus, which won orders for 98 aircraft worth about $8.4 billion from Iran, formally added those sales to its order book and rushed to deliver the first airplanes as soon as it was legal.

A fiend with strong ties to Boeing commented:

  • Boeing never booked the orders, but Airbus did- so they will hurt more.
  • Airbus uses a lot of US parts ( like engines etc.) and thus subject to US sanctions. They do more business in US and elsewhere, so I expect they will comply w/ US sanctions.
  • The real tragedy is the Iran aircraft in service are very old and dangerous and not maintained. Boeing is not allowed to go there and repair. They have had a lot of crashes in recent years.

Former CIA Chief Comment

Those are my sentiments exactly.

Trump's move is so stupid in so many way. For further discussion, please see Trump Cancels Iran Deal: Complete Video - Well Delivered Lies and Innuendo.

Mike "Mish" Shedlock

Comments (39)
No. 1-39
Tengen
Tengen

Pffft. Trade is so 20th century. Since when did moving goods across borders help anyone? Let's try bullets and bombs instead!

Autocatakinetic
Autocatakinetic

Hillary sneezes and faints. Mish: She has degenerative brain disease
Trump writes his own medical report. Mish: crickets
Democrats claim Russians meddled in election. Mish: Nonsense! No collusion.
Putin's friend's company pays Trump's lawyer $500k months after Cohen pays off Trump's porn star. Mish: crickets

Autocatakinetic
Autocatakinetic

Mish predicts recession in 2015, 2016, 2017, 2018
No recession yet. Mish: crickets

Autocatakinetic
Autocatakinetic

Recession finally happens at some random point. Mish: I predicted this!
Mish predicts self-driving trucks and cars taking over America in a couple years.
Mish in a couple years: crickets

hmk
hmk

Yes we should succumb to greed and make money until the vehemently evil anti US Iranian regime helps engineer another attack on the US. They indeed were complicit in aiding Obama bin Ladin in the 911 attack. Information Obamanation concealed.

MntGoat
MntGoat

I think Mish puts out interesting info for reading and discussion. That's why I keep coming back. No one will be right about everything. At least he puts a stake in the ground. I like that. Maybe you can create your own blog?

Autocatakinetic
Autocatakinetic

Mostly opposition research and a contrarian read on economic trends. Mish gets it right about as often as the next guy, which is to say, not often. But I was offended by his behavior leading up to the presidential election, and dismayed to see him parroting alt-right b.s., and I'm looking forward to watching him eat his words about the lack of Russian involvement in Trump's win.

Autocatakinetic
Autocatakinetic

Ooh hit a couple nerves guys, I thought you were contrarians! Can't take the heat when it's going the other way?

OkieNomics
OkieNomics

Anyone think it's a coincidence that Deutsche Bank announces plans to lay off 20% of its U.S. workforce the day the Iran deal is scuttled? DB has a history of dealings with Iran during the sanctions period, and may have been depending on U.S. payments to Iran funneled to DB to remain solvent. Trump may be killing many birds with one stone, Iran, Eurocrats, deep state. More is at play here than meets the eye.

MntGoat
MntGoat

Are you kidding me? Mish is constantly bashing Trump. Bashed the tariffs relentlessly, just bashed the Iran stance, and bashed other things. You must not read the blog regularly.

hmk
hmk

Does anyone think its unusual for Arabs and the Israelis to both applaud this decision. The Europeans are only interested in making a profit and their policy of appeasement lives on. The fact the Brennan the most useless evil POS is against this deal persuades me to side with Trump. Brennan like Obama was either a muslim or a sycophant for Islam.

SweetKenny
SweetKenny

Quoting Brennan (a deep state actor who lied under oath) doesn’t strengthen the argument.

Tengen
Tengen

You're wandering well into paid troll territory here. Iran behind 9/11? Are the Sunnis and Shia reversed in your bizarro-world? What about Saudi Arabia? What about the dancing high-fivers in Brooklyn? There are a lot of countries and groups that can be connected to 9/11, but Iran and the Shia are not among them.

And no, it is not unusual for the Arabs and Israelis to applaud this. Israel and Saudi Arabia, besides being (unfortunately) our two best friends in the world, work together much more than either would readily advertise. Recently the Saudis have finally started admitting this.

Tengen
Tengen

I hope your sarcasm detector is repaired soon. I can't lay it on any thicker than that, short of renting searchlights and some tube men(the wacky waving inflatable arm flailing kind).

AWC
AWC

Guess Boeing will need to cobble together a flock of cruise missiles to make up for lost business instead. It can sell them to the DoD for delivery to Iran.

AWC
AWC

Then it can slap together some F 15s to replace the ones the Russian s-400s shoot down.

AWC
AWC

Yup, war is a racket.

Mike Mish Shedlock
Mike Mish Shedlock

Editor

Mish a Trump "Fanboy" That's a hoot. I have been accused or the exact opposite. The fact of the matter is, and my posts prove it, I am an equal party basher. I do not give a rat's ass about party politics. I care about principles.

Maximus_Minimus
Maximus_Minimus

It's not really true that Airbus has to cancel the Iran deal. The customer chooses the engines for the plane, and there are some options: United Technologies (US), Rolls Royce (UK), Safran (Fr). They might look for Russian engines, but the problem is international service. The US as a reliable partner has gone out of the window, anyways.

Stuki
Stuki

And then, when some entrepreneurial Chinese outfit steps in to fill the void Boeing and Airbus are ceding (as in, selling planes to a part of the world where there is actually a growing population hence market for them….): The reliably well indoctrinated retard army, can be counted on to pump their fists in support of their assigned tyrant, babbling on about how the baaad, mean hobgoblin is “stealing” “our” “property,” And how “we” need to pay more taxes and higher prices to hire more tax feeders and provide more rent for the taxfeeders’ social circle to seek.

TheLege
TheLege

Good thing these blogs are anonymous (for commenters). There's no way on God's green earth I would state publicly
the Russians won the election for Trump or had any involvement. You need to be a special brand of stupid to believe that garbage. Sounds like you should turn MS TV off and start thinking for yourself. I'll concede though, it's a free world so believe what you will. Good luck.

Rdog17
Rdog17

Mish - I agree that entire region is like trying to buff a turd. Nothing against the people though. ...and you're right our sanctions only hurt the common man. But, we can't continue to fund these rogue gov'ts that take our money, profits, etc. and turn it against us. They all lie for their own purpose!! Boeing and Airbus will be fine.

Sechel
Sechel

I was against the Iran deal. But I was equally against cancelling it. Europe will not follow our lead on sanctions, Trump has no plan B and the U.S. gave up any ability to force Iran to abide by the current agreement. No one in the administration has communicated in a coherent fashion how walking from the deal achieves a U.S. aim

Knight
Knight

No organization has done more to undermine the confidence of the world community than the CIA. A tweet from Director Brennan isn’t worth anyone’s time. 9bn is a drop in the bucket relative to the arms sales that will result from ongoing conflict.

hmk
hmk

Please re read They aided Osama bin Ladin didn't plan it but nonethele
ss were complicit. As far a the Shiia Sunni antagonism, did anyone ever hear the phrase "the enemy of my enemy is my friend"???? Its well documented they , the Iranians , had their fingerprints in a minor capacity at least on the catasrophy. Obama as well as his minister thought we deserved it. That is why he was the worst POS ever as president

Quatloo
Quatloo

Totally agree, quoting Brennan is not persuasive to anyone who believes in non-interventionism.

JonSellers
JonSellers

The web page you cited only shows that a judge accepted the arguments of the plaintiff. Note that it does NOT discuss the arguments of the defendant (Iran) in the case. The reason is that Iran, as a sovereign nation, does not recognize American court's jurisdiction, and did not provide any legal defense. Therefore the judge is required to find for the plaintiff. Unfortunately, it does not prove anything.

JonSellers
JonSellers
(deleted message)

Commenting works here. It just works very differently than everyone expects it to. That's poor design, but once you get used to it, it's not that bad.

Webej
Webej

If you want to guess at any foreign policy decisions by Trump, just assume he will do whatever Israel wants.

Webej
Webej

Europe will not be coerced into sanctions, and will fight back, making it illegal for companies to comply. Trump is probably just doing this for the show, and will never get meaningfull sanctions in place. Perhaps the European leaders already know this, and the whole thing is theatre.

Webej
Webej

US leadership in the world is gradually becoming a mockery.


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