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Boeing and Embraer have confirmed they are undergoing talks towards a possible merger. The confirmation follows a report that the two companies were in discussion by the Wall Street Journal.
“There is no guarantee a transaction will result from these discussions. Boeing and Embraer do not intend to make any additional comments regarding these discussions,” said a joint statement. Any potential deal will be subject to the approval of the Brazilian government, regulators, both companies’ boards and Embraer’s shareholders.
According to Flightglobal, any partnership between Embraer and Boeing will allow them to combine forces against the CSeries, which has become the centre of separate trade disputes between Canada and the USA and Brazil respectively. The maker of the CSeries, Canada’s Bombardier had handed over a majority stake in the programme to European manufacturer Airbus.