Boeing expects United States to issue license to sell jets to Iran soon

Boeing expects the United States to approve a license to sell commercial aircraft to Iran after Airbus got the go-ahead from Treasury for a 17-aircraft deal on Wednesday.

It's reported Airbus officials voiced concerns over the amount of time it's taking to receive U.S. export licenses, these are required to complete any deal due to a large number of USA parts in the Airbus jets.

In a June letter to the U.S. Congress, Boeing said the deal involves Iran Air buying 80 aircraft with a total list price of $17.6 billion, with deliveries beginning in 2017 and running until 2025.

Iran's nuclear deal with world powers, which limits its enrichment of uranium in exchange for the lifting of some worldwide sanctions, specifically allowed for the purchase of aircraft and parts.

Boeing is expected to supply more than 100 planes to Iran Air.

Iran has said it needs 400 planes to rebuild its commercial aviation sector following decades of global isolation.

"This is because the structure of negotiations with Boeing is different from that of Airbus". The Boeing sales would be the first from a USA aviation company to an Iranian entity since the 1979 Islamic revolution.

The Airbus deal was initially valued at $25 billion (22.4 billion euros) but Iranian officials say it is worth nearer $10 billion.

The U.S. on Wednesday approved the $25 billion' sale of Airbus planes to Iran, which will provide a much-needed refresh to an aging fleet long blocked from fix by worldwide sanctions.

The deals are also likely to "test conservative opposition" to the nuclear agreement in both the US and Iran, as Reuters reported.

In a written statement, Boeing said it remains in talks with the airline over the terms of a Memorandum of Agreement signed in June covering what at the time remained an undisclosed number of jets. In the USA, many Republican lawmakers are against selling Iran planes, as are some conservatives in Iran.

Boeing is a US company headquartered in Chicago.

Implemented in January, the JCPOA calls for Iran to significantly curb its nuclear ambitions and allow the International Atomic Energy Agency regular access to its facilities for inspection.

But nine months after the first deal was signed, Iranian officials have voiced growing concerns about what they see as slow progress in obtaining the USA licenses needed for most modern aircraft due to their ample use of United States parts.

  • Zachary Reyes