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

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
No. 1-25
Webej
Webej

US leadership in the world is gradually becoming a mockery.

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

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

Latkes
Latkes

JonSellers, Mish, it's not the commenting design that is the problem. The comment box often freezes on me or is very slow. The same issue exists on my main computer and on my tablet. I have seen others complaining about this in the past few days.

JonSellers
JonSellers

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.

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