IN AN INTERVIEW TO RT, THE PRESIDENT OF THE TSC CONSORTIUM EXPANDED ON THE CAUSES AND POSSIBLE CONSEQUENCES OF TERMINATING THE DEAL ON THE ACQUISITION OF EMBRAER BY THE BOEING COMPANY« Back
Embraer Brazilian aircraft conglomerate may find a new foreign partner after breaking a deal with Boeing. This was stated by Brasilian President Jair Bolsonaru. Earlier, both corporations announced the termination of the agreement to create a joint venture, while making mutual accusations. Embraer explained the behavior of American partners with commercial and reputational issues.
In an interview to RT the president of the Transport Strategy Center (TSC) Consortium Anton Koren suggested that the termination of the deal with Embraer is caused by Boeing’s desire to receive financial support from the US government. In this regard thecompany found an excuse for refusing to invest in a project involving Embraer.
“Boeing claims to receive financial assistance from the US federal government. Under the $60 billion request for finansial support, the acquisition of assets may look ambiguous and lead to the blocking of a solution beneficial for Boeing,” says Anton Koren in his interview to RT.
At the same time, according to the head of TSC Consortium, Embraer will be able to overcome the difficulties created by the American partner. This, according to Anton Koren, is evidenced by the high demand for regional airplanes.
“At the end of 2019, Embraer had $2.3 billion on its accounts. Also, the Brazilian company may well become the recipient of state grants of Brasilian government,” says Anton Koren.
Under the current circumstances Anton Koren also assumed the possibility of participation of China in the deal.