Boeing will reportedly lose nearly $20 billion dollars in deals after the Trump administration announced that it will cancel all sales of commercial aircraft to Iran following President Trump’s decision to withdraw from the Iran nuclear deal.
The Washington Post reports that Boeing is losing a $17 billion contract to deliver 80 aircraft to Iran Air by 2025.
The company will also lose another 30-airplane agreement with Iran’s Aseman Airlines for $3 billion, the newspaper said.
“We will consult with the U.S. Government on next steps. As we have throughout this process, we’ll continue to follow the U.S. Government’s lead,” Boeing Vice President Gordon Johndroe said in a statement, according to the Post.
“We will be instituting the highest level of economic sanction,” Trump said on Tuesday before signing a declaration to impose those sanctions that had been waived under a 2015 pact between the United States, Iran, Germany, France, the United Kingdom, Russia and China. “Any nation that helps Iran in its quest for nuclear weapons could also be strongly sanctioned by the United States.”
Treasury Secretary Steven Mnuchin said the Trump administration is also canceling waivers for the sale of commercial aircraft parts.
“These sanctions do impact all of the major industries,” Mnuchin said. “These are very, very strong sanctions; they worked last time. That’s why Iran came to the table.”