subsidies to buy jetliners called for an easing of rules on aircraft-export guarantees
to defuse an international dispute on the issue.
Korean Air, said at a news conference Thursday in London that airlines from all
countries should be eligible for government support in buying planes from Airbus
airlines from the home countries of Boeing and Airbus may not receive government
export support on the companies’ planes. Airbus is a unit of
and Spainâ€”in October complained to their governments that the current arrangement
is unfair. Many carriers in the ineligible group want access to export-credit
financing, while some want it limited for all airlines from developed countries.
loans for airlines to buy planes, currently underpins more than 30% of Airbus
and Boeing deliveries.
buyers of airliners today. They want to ensure that export financing isn’t closed
said in an interview.
way at the Organization for Economic Cooperation and Development in Paris. OECD
officials declined to comment on the status of the yearlong negotiations.
this year, although some officials have said the talks could slip into next year.
recent credit crisis. Before the crisis, airlines from the five home countries
were able to fund airplane purchases inexpensively through highly developed capital
markets. But since financial markets froze up in 2008, commercial financing became
more expensive than funding backed by U.S. and European government guarantees.
industry,” the Aviation Alliance said in a statement. “We have come together today
to call for the extension of export credits to all airlines in the U.S. and Europe,
irrespective of whether they are based in a country which manufactures aircraft.”
Pegasus of Turkey, Virgin Blue from Australia and Wizz Air from Hungary.
jobs.” Airlines from the Airbus and Boeing home countries have said export credit
hurts them and costs airline jobs.
foreign sales of American products, is forbidden from financing Boeing’s domestic
sales. To establish a level playing field between Boeing and upstart Airbus in
the 1980s, both agreed not to seek export-credit support for sales into the other’s
wish to buy Airbus should have access to export credit,” he said.
a financing advantage over Boeing in the U.S. Because Airbus is based in four
countries, its home-country customers could theoretically get export support from
the other three countries.
group’s proposal before making a comment.
“as long as the instrument remains economically workable for its original purpose,”
which includes helping “to support the stability of aircraft manufacturing.”