Aircraft manufactures’ competition poses obstacles against Iran’s Airbus deal

Business Materials 5 June 2016 19:09 (UTC +04:00)

Baku, Azerbaijan, June 5

By Khalid Kazimov - Trend:

Intense competition between two giant aircraft manufacturers has posed obstacles over Iran's purchase of Airbus crafts, an Iranian aviation official said .

Secretary of Association of Iranian Airlines Companies Maqsoud Asadi Samani has said that the major deal Tehran signed with Airbus to purchase 118 planes from the European aviation giant is still pending authorization from the US, Mehr news agency reported.

Meanwhile the Americans seek to resolve the issue of a possible deal on exporting Boeing aircrafts to Iran before issuing the authorization for Airbus purchase, he added.
The official added that the Iranian aviation company is in talks with Airbus and Boeing to settle the issue.

US approval for Iran's purchase of Airbus crafts is necessary because more than 10 percent of components in Airbus planes are of American origin.

Meanwhile all those individuals aiming to do business with Iran need to apply for OFAC license from the U.S. Department of the Treasury.

According to the official difficulties in banking ties with Iran are among other reasons for finalizing Airbus deal.

Iran's President Hassan Rouhani visited Paris in January this year. During the visit, Iran and Airbus signed a memorandum of understanding for aircraft purchase.