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Rush to fill orders ahead of new US sanctions

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Rush to fill orders ahead of new US sanctions

Rush to fill orders ahead of new US sanctions
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European plane makers are set to lose billions as America reimposes sanctions on Iran. Companies have been scrambling to fill their orders with the Islamic Republic before the wind-down period ends on 6 August.

Last minute landings

Five more French-built planes landed at Tehran's Mehrabad airport just hours before new US sanctions were scheduled to come into effect.

State-owned IranAir had ordered 200 aircraft from Western companies after Tehran signed a nuclear pact with major world powers in 2015.

ATR and Airbus

Twenty of those planes were set to come from French-Italian company ATR.

But only a handful had been delivered before US President Donald Trump exited the deal in May and reimposed sanctions on Iran.

The company says it will suffer financial damage if it can't complete the full order and has lobbied the US Treasury for a new temporary licence.

French planemaker Airbus also stands to lose out - it has delivered just three of more than 100 planes commissioned by Tehran.

European appeal

Last month, the US rejected an EU appeal to allow exemptions to the sanctions regime.

European leaders have strongly opposed exiting the nuclear deal and vowed to keep the pact alive.