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Embraer eyeing U.S. approval to sell planes to Iran

Staff Writer |
Embraer announced that it is still waiting for an approval by the US Treasury Department to sell aircraft to Iran.

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"We remain active and optimistic with regards to our plans to sell planes to the Islamic Republic," Embraer's officials said.

They went on to say that providing the required funds for the planned sales to Iran was not so much the issue as gaining licenses from the Office of Foreign Assets Control (OFAC) of the US Treasury, the Aviation Week news website reported.

In February 2016, Iran confirmed that it had ordered 50 planes from Brazil's Embraer, the world's third biggest commercial aircraft manufacturer.

The confirmation was made by Iranian Government Spokesman Mohammad Baqer Nobakht who emphasized that the deal with Embraer will be a hire-purchase contract.

Reports later said the Brazilian company was considering a plan to sell its E-195 jets to Iran through a deal which would be worth above $1 billion.

The company requires an OFAC license for the sale to Iran of sensitive jet engine technology in its planes.

Sales of Embraer planes to Iran featured in trade talks between the Islamic Republic and Brazil during a visit to Tehran by Brazilian Trade Minister Armando Monteiro.

Two major Iranian carriers – ATA and Kish Air – have already announced plans to purchase planes from the Brazilian company.

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