Iran Air confirms deal to buy Boeing planes

The French-Italian aircraft manufacturer sold 20 ATR 72-600 passenger planes to Iran Air, a deal Iran’s private Donya-e Eghtesad daily newspaper described as being worth over $1 billion.

Boeing confirmed that an initial agreement had been reached, adding that “any and all contracts with Iran’s airlines will be contingent upon US government approval”. Boeing will continue to follow the lead of the USA government with regards to working with Iran’s airlines, and any and all contracts with Iran’s airlines will be contingent upon U.S. government approval.

It offered no details on the sale. If the deal goes through it would the Islamic Republic’s first major deal with an American company following last year’s landmark nuclear accord. The deal faces other potential stumbling blocks related to US sanctions that remain in place following the nuclear deal stuck by Tehran and Washington in January.

He did not unveil the names of the Iranian companies which have conducted talks with the United States aircraft manufacturer.

Another possible hitch is Iran’s Supreme Leader Ayatollah Ali Khamenei’s recently disclosed opposition to buying more airplanes.

“Suppose we modernize our air fleet. But is it the priority?”

However, he said, Boeing 737 will enjoy the greatest demand as it is a proper plane for Iran.

The Islamic republic has ordered about 200 aircraft from 3 other Western manufacturers since the nuclear accord took effect. The order is expected to be a large one, following Iran’s agreement in January to purchase 118 Airbus aircraft, worth $27 billion at list prices.

The parties continue their talks, aimed at reaching an agreement, he said, adding requests have been made for purchase of various types of aircrafts. Iran has kept flying those same planes for decades and its fleet of aging, worn-out commercial aircraft is in desperate need of replacement.