Iran says it’s finalized $16.6B Boeing deal to buy 80 planes

Both Boeing and Airbus, which manufactures some of its parts in the United States, were granted special permission from the US Treasury in September to go ahead with deals in Iran. The first airplanes are scheduled for delivery in 2018, with the entire order being fulfilled over 10 years.

Boeing has touted it as a way to bring revenue and support almost 100,000 jobs in the U.S. This would be the largest business deal that a US company had done with Iran since the President Obama signed an executive order lifting sanctions against the country.

The Boeing contract comes after last year’s pact between Iran and world powers to reopen trade in return for curbs on Iran’s nuclear activities.

Secretary Kerry Posed for a Group Photo With EU, P5+1, and Iranian officials before the final plenary of Iran nuclear negotiations in Vienna, Austria.

CNN notes that the agreement between Boeing and Iran Air is by far the biggest between Iranian businesses and the United States since the 1979 revolution, which shuttered normalized relations between the nations.

A Boeing statement said the Iranian contract would support tens of thousands of U.S.jobs for the 777-300ER jets and almost 100,000 US aerospace jobs for the whole package.

Meanwhile, Benjamin Netanyahu, prime minister of Iran’s arch-enemy Israel, told CBS” “60 Minutes’ that he has “about five thing in his mind” that could undo the deal.

“The intended recipient of Boeing’s message clearly seemed to be President-elect Donald J. Trump”, writes the New York Times’ Christopher Drew.

“We are hopeful that President-elect Trump’s extensive business and hospitality background will make him receptive to the value of the travel industry”, she said.

“The decision to reduce rate, however, already factored [the deal with Iran Air] into our assessment of the near term market landscape”, said Boeing’s 777 Vice President Elizabeth Lund in a message to employees Monday. He called it a “disaster” and the “worst deal ever negotiated”.

Boeing is a major US exporter, and there are fears that the trade policy of Donald Trump might backfire on the company as other countries may also impose tariffs as well as cancel deals with companies like Boeing Co. “Cancel order!” Trump tweeted. That contract is also expected to be finalized soon. It said that amount would be spent “to help determine the capabilities of these complex military aircraft”. “Boeing can’t compete with Airbus if it can’t sell to places like Iran and China”, he says. If the Senate votes in favor, this could still block the Boeing deal.