Boeing seeks $60 billion in US support for aerospace industry

Boeing is seeking at least USD 60 billion in federal support for the aerospace industry to help it navigate a battered aviation environment due to the new coronavirus, company officials said Wednesday. The funds would include federal loan guarantees to provide liquidity for Boeing and companies in its supply chain at a time when the virus pandemic has obliterated near-term airline demand and destroyed the industry’s profitability.

“Funds would support the health of the broader aviation industry, because much of any liquidity support to Boeing will be used for payments to suppliers to maintain the health of the supply chain,” Boeing officials said in a statement. “The long-term outlook for the industry is still strong, but until global passenger traffic resumes to normal levels, these measures are needed to manage the pressure on the aviation sector and the economy as a whole.” Boeing’s near-term outlook had already been dimmed by the 737 MAX crisis, which was grounded a year ago following two deadly crashes.