Boeing Government Affairs
In today’s environment, government actions, policies and regulations can have profound implications in many areas with no assurances that the outcomes will be constructive or even benign. Success in the aerospace business depends on actively engaging in public policy framing outcomes that support economic and air travel demand and that help maintain a level playing field for competition.
Boeing’s Government Operations office is located in Arlington, Virginia outside of Washington D.C. and it serves the company in three main ways. It works with government officials and organizations that affect government decisions to protect and advance the company’s interests, competitiveness and reputation; obtain support and resources; and shape public policy.
The office works with public officials across all levels of government — federal, state, and local — to carry out this mission. It also works with various third parties — organizations such as think tanks, associations, public policy groups, international organizations, and consulting agencies.
While The Boeing Company at large creates world-class commercial and defense products, the Government Operations office provides the support needed from government to ensure the company’s success. For example, it works for fair trade practices, and reasonable levels of taxation and regulation so that Boeing can remain competitive in global markets and support U.S. economic growth and jobs.
In addition to these many functions, the office serves as a point of contact between the Washington D.C. community (government, third parties, and businesses) and the various divisions of The Boeing Company (Boeing Commercial Airplanes (BCA), Boeing Defense, Space & Security (BDS), Boeing Capital Corporation (BCC).
Commercial Aviation: Boeing works with various levels of government to ensure that its products can remain competitive in a rapidly changing global environment.
Defense: Boeing is a partner of the U.S. Department of Defense (DoD). The company works will all branches of the military to gain funding for vital defense programs, ensuring the health of America’s defense manufacturing industry and the armed forces.
Education: Boeing promotes various educational initiatives throughout the country from mentoring and volunteer projects, to career fairs. It is also a supporter of innovative programs such as STEM, which emphasizes science, technology, engineering and math.
Energy & Environment: The company takes great strides to improve the environmental performance of its products. From bio fuels to solar technology, Boeing aims to produce competitive new products which significantly reduce their environmental impact.
Innovation & Competitiveness: Boeing has always been a company on the leading edge of innovation. The 787 Dreamliner is a perfect example, utilizing innovative composite materials which cut down on fuel consumption and noise levels, making an overall more pleasant travel experience.
Taxes: Boeing supports reasonable levels of taxation so that it can remain competitive in challenging global markets.
Trade: Boeing is one of the U.S.’s leading manufacturing exporters. Exports help create jobs and are an important means to spur the economy. The company encourages fair international trade practices to ensure that it can operate on a level playing field with its competitors.
As the world’s largest aerospace company and leading manufacturer of commercial jetliners and defense, space and security systems, Boeing supports airlines and U.S. and allied government customers in 150 countries. The company employs more than 165,000 people across the United States and in 70 countries, and leverages the talents of hundreds of thousands more skilled people working for Boeing suppliers worldwide. Boeing is organized into two business units: Boeing Commercial Airplanes and Defense, Space & Security, and is supported by Boeing International.
Boeing International was established in 2001 to help grow the global business by expanding the company’s influence, impact, and image internationally; building a strong local presence across diverse and dynamic global markets; and leveraging global intellectual, financial, and industrial capabilities.
Touching every continent, the organization has 20 country and regional executive offices worldwide and is led by Shephard W. “Shep” Hill, president of Boeing International and senior vice president of Business Development and Strategy. Hill, based in Washington DC, reports to Chairman, President and CEO James McNerney and is a member of the Company’s Executive Council.
Boeing executives in country and regional offices help build stakeholder relationships, coordinate local activities, and develop strategies to greater value and opportunities for Boeing:
- Provides strategic council on political, economic and industrial developments around the world
- Collaborates with Government Operations to create an integrated view of domestic and global government issues and developments
- Ensures good corporate citizenship around the globe by developing policies and procedures that comply with the diverse laws, customs and business.
Brief Review of Country and Regional Offices
Boeing in Australia: Boeing’s presence in Australia is the company’s largest footprint outside the United States. Boeing is an integral part to the fabric of the Australian aerospace industry through its products and services. Boeing successfully partners with the Australian defense and commercial industries and is an invaluable part of the Australian research communities.
Boeing in Brazil: Boein has formed a close partnership with its Brazilian airline customers and now serve as a catalyst for Brazil’s aviation biofuels sector. Boeing is seeking new opportunities to expand its presence in the country and work with Brazilian companies and governmental agencies in programmes of mutual benefits.
Boeing in Canada: Canada is a supplier and partner of Boeing both in the defense and commercial sectors. Boeing contributes to the long term success of Canada’s aerospace industry with wealth creation, innovation and employment.
Boeing in Central and Eastern Europe: Boeing partners with Central and Eastern European customers and suppliers, focusing on opportunities to grow business in the area of commercial and defense aviation and aerospace industries. Through participation in activities of the Boeing Global Corporate Citizenship organization, which manages the Boeing philanthropy and community service around the world, Boeing Central and Eastern Europe works with various organisations and non-governmental organizations in the region on a number of local community projects.
Boeing in China: Boeing is an industry leader in supporting trade with China. Boeing works with Chinese airlines, the Chinese aviation industry, the Civil Aviation Administration in China, and the Chinese government in areas such as safety and aviation quality.
Boeing in the EU and NATO: The company is committed to building constructive relationships with European decision-makers to advance the interests of aerospace and defense as a global industry and an essential element of European competitiveness and growth. As leader in innovation and technology, Boeing works across governments, industry and academia to promote sound policies to reduce the environmental effects of aviation by improving airplane performance, airport operations, and air traffic management and creating incentives for new technology development such as alternative fuels and energy sources.
Boeing in France: Boeing maintains successful relationships with many aviation and aerospace customers and suppliers in France. Boeing provides the French commercial and defense sectors with products, systems, services and support.
Boeing in Germany: Boeing has a well established presence in Germany, with a dynamic base of commercial customers, a strong supplier base, growing technology partnerships, and emerging opportunities in the defense sector. German technology is integral to many Boeing commercial and defense products and services.
Boeing in India: Boeing and India maintain a relationship of close cooperation. Boeing values the productivity opportunities that Indian partners bring in the areas of commercial aviation and aerospace, defense products and services, and technology.
Boeing in Israel: Boeing has held an important role in Israeli aviation and aerospace since the state’s founding. Boeing works with the public and private sectors to support Israel’s position as a world leader in the aerospace industry.
Boeing in Italy: Boeing values its cooperative relationship with Italy and works closely with the country’s commercial and defense sectors. Since the late 1960s, Boeing and Aerfer (now Alenia Aeronautica) have worked together on many aerospace programmes. Italy is a key player in the company’s global network of customers, partners, and suppliers.
Boeing in Japan: As a major provider of commercial jet liners and military equipment and aircraft to Japan, Boeing maintains a strong relationship with the country. Japan has played an important role in launching new Boeing programmes. Boeing partners with customers and suppliers in the Japanese aviation and aerospace industries.
Boeing in Latin America: Boeing has a strong presence in Latin American aviation and aerospace. Boeing history with Latin American spans countries throughout the region. Sincve the early days of Latin American aviation, airlines such as SCADTA (now Avianca) and VARIG have expanded their routes with Boeing airplanes. Boeing has designed several generations of satellites for the Mexican geomobile satellite systelm (known as MEXSAT). Boeing provides the commercial and defense sectors throughout Latin America with products, systems, services, and support.
Boeing in the Middle East: Today, Boeing counts Middle Eastern airlines among its strongest customers. The company also offers a portfolio of defense products, systems, services and solutions. Boeing values its many relationships in the Middle East, including partnerships, technical sharing, and training agreements, and works closely with countries in the region to promote their status as crucial hubs for the world’s passengers and cargo.
Boeing in the Republic of Korea: Boeing has developed partnerships with the Republic of Korea in the commercial and military sectors, forging business relationships and contributing to the growth of the Korean aerospace industry. Boeing cooperates with Korean aerospace partners not only on defense projects but also as a global supplier of essential commercial airplanes and components.
Boeing in Russia/CIS: Boeing maintains a mutually beneficial relationship with Russia and the Commonwealth of Independent States (CIS) in aviation, aerospace, and technology. Boeing is also cooperating closely with the Russian space industry. Boeing places a high value on Russia’s intellectual resources in industry and science on its long list of aerospace expertise and innovation.
Boeing in Saudi Arabia: Boeing enjoys a strong partnership with the Kingdom of Saudi Arabia. Along with contributing to the growth of Saudi commercial aviation and technology, Boeing builds relationships with Saudi civil and defense authorities.
Boeing in Southeast Asia: Boeing relationships in Southeast Asia have encompassed partnerships in commercial aviation, defense, aerospace, and research. Boeing sees the region as a key global logistics hub and partners with suppliers as well as customers in aerospace and technology.
Boeing in Turkey: Boeing has a thriving relationship with Turkey as a supplier of commercial and defense products and as a partner of the Turkish aerospace industry. Boeing cooperates with the Turkish aerospace industry in commercial and military aviation programmes.
Boeing in the United Kingdom: Boeing and its partners in the United Kingdom are helping to shape the future of aerospace by developing cutting-edge products and services. The company supplies products, services, and technology to UK customers in the commercial and defense sectors and the research industries.
Global Policy and Advocacy Outreach
Few businesses are as global as commercial aviation. More than 70% of Boeing commercial airplane deliveries go to customers outside the U.S. Commercial aviation’s transnational nature demands truly global policy frameworks, to address the infrastructure, environmental, safety and security realities and needs of this critical industry.
In today’s environment, commercial success depends on more than just the best airplanes and the best technologies. Government actions, policies and regulations can have profound implications in many areas with no assurances that the outcomes will be constructive or even benign. Success in today’s commercial aerospace business depends on actively engaging in public policy framing outcomes that support economic and air travel demand and that help maintain a level playing field for competition.
Governments view aerospace as a strategic industry and continue to aggressively develop their aerospace manufacturing industries. Boeing supports policies that promote a level playing field in global airplane manufacturing.
WTO-inconsistent government intervention distorts market forces and encourages inefficient market development. Unfairly subsidized competition will also increase pricing pressure on established manufacturers and inject unpredictability into the supply chain, including that for natural resource supplies such as titanium. Accordingly, any and all government participation in the aerospace market must be on commercial terms, to satisfy both the legal strictures of WTO requirements and principles of fundamental market fairness and efficiency.
Key Policies affecting commercial aviation
- International Trade
- Government Support
- Airline foreign investment and liberalization
- Global policy and advocacy outreach
- Aviation and the environment
- Carbon emissions (Regulatory frameworks and mandates)
- Sustainable aviation biofuels
- Air traffic management and infrastructure
- Aircraft financing
- Export credits for civil aircraft
- Aviation security
- Aviation safety and compliance