The International Federation of Professional and Technical Engineers, an affiliate of the AFL-CIO, has written members of Congress supporting an amendment to the FY15 National Defense Authorization bill (HR 4435) that would block Defense spending with Russian companies, including on with which Boeing has a major agreement.
This relates to the situation in Ukraine. The trade group summarizes the amendment below:
DeLarua/Granger/Ellison/Connolly (VA) Huizenga amendment #201 – to prohibit the DoD from entering into a contract or subcontract with Russia’s state-arms dealer Rosoboronexport until Russia pulls out of Crimea and has withdrawn from the eastern border of Ukraine. The fact that American taxpayer monies are being spent to prop up a Russian state run company is disturbing enough. However, what is sometimes lost in the discussion and reporting is that major American aerospace manufactures and Pentagon defense contractors continue to do business in Russia, including with Rosoboronexport. For example, The Boeing Company, which receives billions of dollars in Pentagon defense contracts, and was just granted billions more in tax incentives from Washington State taxpayers, has entered into a multi-billion dollar joint venture with Rosoboronexport, that could include up to $18 billion in contracts for Russian titanium products, and $5 billion on Russian engineering services by 2030. Meanwhile, the company is laying off thousands of US engineers. Not only does IFPTE support this amendment and urge a yes vote on it, we believe that its impact should also be extended to American manufactures doing business in Russia, particularly major American defense contractors such as Boeing.
The West’s sanctions against Russia are having an impact on aerospace. Bombardier was on the cusp of firming up an MOU for up to 100 Q400s and an assembly site in Russia into a contract when Russia entered Ukraine’s Crimea region. Canada is supporting sanctions (there is a large Ukrainian population in Canada). Boeing’s president and COO, Dennis Muilenburg, canceled an appearance at a key Russian conference (though lower level Boeing people reportedly would attend), supposedly at the request of the US government.
European participation in sanctions appears spotty.