U.S. TREASURY SET TO TERMINATE IRAN AIRCRAFT LICENSES

June 15, 2018

The U.S. Treasury Department is set to terminate civil aviation companies’ export licenses for Iran following President Trump’s decision to withdraw from the Iran nuclear deal. On May 8, 2018 President Trump released a memorandum on the withdrawal from the Joint Comprehensive Plan of Action (JCPOA), entitled “Ceasing U.S. Participation in the JCPOA and Taking Additional Action to Counter Iran’s Malign Influence and Deny Iran All Paths to a Nuclear Weapon.”

According to a senior State Department official, speaking on condition of anonymity, “[w]ithin the first 90 days the Treasury Department is going to work to terminate the specific licenses that were issued pursuant to the statement of licensing policy on civil aviation…Treasury will be reaching out to private-sector companies and work to terminate those licenses in an orderly way.”

This action by the U.S. Treasury Department effectively terminates Boeing’s prospective delivery of roughly $9.5 billion worth of aircraft to Iran and halts any further delivery of Airbus aircraft under the company’s previously completed $8.4 billion transaction.

If you have any questions, please contact Evelyn Sahr (esahr@eckertseamans.com or 202-659-6622); Drew Derco (dderco@eckertseamans.com or 202-659-6665), or Alexander Matthews (amatthews@eckertseamans.com or 202-659-6633).

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Evelyn D. Sahr Photo Washington, D.C.

Evelyn D. Sahr

Member - Washington, D.C.

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Drew M. Derco Photo Washington, D.C.

Drew M. Derco

Member - Washington, D.C.

See full bio