Ghasemi: The Congressional Ban on Selling Aircraft to Iran is Not Enforceable

The spokesperson for Iran's Foreign Ministry stated that the proposed ban on selling aircraft to Iran in the U.S. Congress, like other bills, is "not enforceable" and still "needs to go to the Senate and then be signed by the President, which is also time-consuming." A senior official from Iran's Ministry of Roads has also mentioned that Airbus and Boeing have not officially commented on the suspension of aircraft sales to Iran. According to ILNA news agency on Tuesday (November 22), Bahram Ghasemi made these remarks to reporters in response to a question about Iran's reaction to the approval of the ban on selling passenger aircraft in the U.S. House of Representatives. The Republican-controlled House of Representatives passed a bill on Thursday, November 17, banning the sale of passenger aircraft to Iran. This legislation is seen as a move to counter the Obama administration's decision to permit the sale of Airbus and Boeing passenger aircraft to Iran. If enacted, the bill would require the U.S. Treasury Department to refrain from issuing licenses for American banks to conduct financial transactions related to the sale of passenger aircraft to Iran. Republicans argue that these passenger aircraft are intended for a country that is the "number one supporter of terrorism in the world" and violates UN resolutions by conducting ballistic missile tests. However, as the Iranian Foreign Ministry spokesperson stated, this proposal "must go to the Senate and then be signed by the President, which is also time-consuming." Ghasemi added that "over the past year, we have seen many bills passed in Congress that have no enforceable capability." For this reason, he said, "we are waiting and assessing the situation, and if it contradicts the JCPOA, we will respond appropriately." The Deputy Minister of Roads and Urban Development also stated that representatives from Airbus and Boeing have not officially and in writing communicated their stance regarding the congressional bill. Asghar Fakhrieh Kashan, a senior member of Iran's aviation negotiating team with these two companies, also announced a forthcoming meeting with representatives from Airbus and Boeing this week. He noted that representatives from Airbus and Boeing are in "constant and ongoing" contact with Iranian counterparts, and if Airbus imposes a cash payment condition for Iran, Tehran does not have the financial resources to purchase new aircraft from Airbus. Earlier, Bloomberg reported that the congressional ban on selling aircraft to Iran has put Airbus in a "state of uncertainty." The company stated that it is evaluating the implications of Congress's vote on the ban but has not halted the process of completing a $27 billion contract for aircraft sales to Tehran. Claude Brant, Vice President of Airbus for customer financing in the Middle East, told Bloomberg that Airbus would "wait for the Senate's response and for President Barack Obama to react to the recent House decision." On November 7, Reuters reported that Iran had reached an agreement with a foreign leasing company to finance the purchase of 17 Airbus aircraft. The news agency did not name the leasing company but stated that this was confirmed by a "senior Iranian official" whose name was not mentioned. Democrats view the new Republican bill in Congress as a fresh attempt to undermine the Iran nuclear deal and the credibility of the Obama administration. It remains unclear how the Senate will respond to the House's bill. The Obama administration warned Congress members on November 15 that it would veto any legislation that obstructs financial facilitation for the sale of passenger aircraft to Iran. During the nuclear negotiations between Iran and the West, the U.S. agreed to lift the ban on selling passenger aircraft to Iran due to the aging of Tehran's air fleet. Iran had previously announced plans to purchase 118 passenger aircraft worth $25 billion from Airbus, later reducing the number to 112. Boeing has also reported exporting over 80 aircraft worth $17.6 billion to Iran. In this context, the first Airbus for Iran Air is "ready for delivery."