Boeing boss and President Elect hold talks to discuss replacement programme and ongoing commitment to US jobs as sparks fly.
Donald Trump wasted little time making his presence felt on the aviation industry, with a social media attack on Boeing and the Air Force One replacement plans.
In a post on Twitter, Trump said costs for the new aircraft were expected to reach US$4 billion and called for the order to be cancelled.
Boeing shares fell sharply, losing around 1 percent just minutes after the Tweet, but later recovered.
Boeing hit back by issuing its own statement which showed vastly differing numbers.
“We are currently under contract for US$170 miliion to help determine the capabilities of these complex military aircraft that serves the unique requirements of the President of the United States,” Boeing said in a statement.
“We look forward to working with the US Air Force on subsequent phases of the program to deliver the best planes for the president at the best value for the American taxpayer.”
The budgeted costs for the Air Force One replacement aircraft are US$2.87bn for the fiscal years 2015 through 2021, according to budget documents. The contract to produce those aircraft has not yet been awarded to Boeing.
In September, Boeing were granted approval from the government to sell 109 planes to Iran Air worth US$17.6 billion. US sanctions against Iran had previously prevented US companies from doing business with the country, and it is yet to be seen how the deal will be affected once President Elect Trump assumes power in January.
Boeing CEO Dennis Muilenburg held a phone call with Trump the next day.
“Muilenburg congratulated Mr. Trump on his election win and committed to working with the new administration to control costs as they establish requirements for the new Air Force One to keep the program as affordable as possible,” said Boeing’s statement.
They also discussed Boeing’s continuing contribution and commitment to U.S. jobs.