|Published : 22 Sep 2016, 21:29:13|
US grants Airbus, Boeing a chance to sell airplanes to Iran
DUBAI, Sept 22 (AP): The US government granted aviation giants Airbus and Boeing permission on Wednesday to sell aircraft to Iran following last year's nuclear accord.
European airplane manufacturer Airbus announced the license from the US Treasury's Office of Foreign Assets Control early Wednesday.
Chicago-based Boeing followed with its own announcement later in the day. The approval clears the way for the two plane manufacturers to access one of the last untapped aviation markets in the world. Both companies have announced separate $25-billion deals to sell aircraft to airlines in the country, although analysts are skeptical that there is demand for so many jets or available financing.
The deal would be the biggest for an American company since the 1979 Islamic Revolution and US Embassy takeover.
The announcements come as Iranian and US leaders are in New York for the United Nations General Assembly and shows that the outgoing administration of President Barack Obama is honoring the economic terms of the nuclear pact.
Though based abroad, Airbus needed the approval of the US Treasury's Office of Foreign Assets Control for the deal because at least 10 per cent of the manufacturer's components are of American origin.
Airbus applied for two licenses to cover its deal with Iran to ensure the fast delivery of some of the aircraft, Airbus spokesman Justin Dubon told The Associated Press. The license announced Wednesday covers the first 17 planes involved in the deal, which will be A320s and A330s, he said.