Business Briefs – June 17, 2019

New Blow to Boeing From Engine Delay, Airbus Long-Range Rival Takes Off

PARIS, France (Reuters) – Boeing suffered a fresh setback at the opening of the Paris Airshow on Monday as the U.S. planemaker’s engine supplier revealed a delay affecting its all-new 777X jet, while Airbus targeted the middle of the market with a rival plane.

GE Aviation said it had found unexpected wear in a component for the GE9X engine it is making for Boeing’s 777X, the world’s largest twin-engined jet, forcing a delay of several months while it redesigns and tests the part.

Airbus used the show to launch a long-range version of its A321neo jet, aiming to carve out new routes for airlines with smaller planes and steal a march on Boeing’s plans for another potential all-new jet, the NMA.

U.S.-China Trade War Risks Hurting Firms in Both Countries

WASHINGTON (AP) – U.S. businesses are imploring President Donald Trump not to expand his tariffs to $300 billion in goods from China that have so far been spared in his trade war with Beijing. U.S. Trade Representative Robert Lighthizer is sure to hear more complaints when he testifies Tuesday and Wednesday on Capitol Hill. Lawmakers from both parties have been increasingly inclined to speak out against Trump’s aggressive use of tariffs.

Huawei Says Sanctions Will Cost It Billions in Revenue

SHENZHEN, China (AP) – Huawei’s founder says it never occurred to the company that the U.S. would be so determined to take such a wide range of what he called extreme measures against the company. The U.S. has placed Huawei on its “Entity List,” which effectively bars American companies from selling components to Huawei without government approval. Ren Zhengfei likens his company to a badly damaged plane and says revenues will be $30 billion less than forecast over the next two years.

Pfizer to Buy Array BioPharma In Deal Worth $11.4 Billion

NEW YORK (AP) – Pfizer is delving deeper into cancer research with a roughly $11.4 billion deal for Array BioPharma, a drug developer that has seen its shares soar since announcing positive clinical trial results earlier this spring. Pfizer said Monday it will pay $48 per share in cash for Array. That company’s product portfolio includes a treatment combination used for advanced skin cancer that is being tested in other cancers as well.

AP Interview: Airbus Is Ready For Pilotless Jets — Are You?

LE BOURGET, France (AP) — The chief salesman for Airbus says his company already has the technology to fly passenger planes without pilots at all — and is working on winning over regulators and travelers to the idea. Christian Scherer also has said in an interview with The Associated Press that Airbus hopes to be selling hybrid or electric passenger jets by around 2035.

Blackout in South America Raises Questions About Power Grid

BUENOS AIRES, Argentina (AP) – The huge blackout that left tens of millions of people in the dark in Argentina, Uruguay and Paraguay over the weekend raised serious questions about the vulnerability of the power grid in South America.

Climate Talks Held As Arctic Ice Melts, Concerns Grow

BERLIN (AP) – Diplomats and climate experts gathered Monday in Germany for U.N.-hosted talks on climate change amid growing public pressure for governments to act faster against global warming.

Officials meeting in the western city of Bonn for the June 17-27 talks are focusing on resolving issues that couldn’t be agreed upon at last December’s climate summit in Poland . This includes the rules governing the international trade in carbon certificates, which allow countries or companies to offset greenhouse gas emissions by paying for projects in poor nations.

The talks are taking place against a backdrop of mounting concerns about global warming that have been heightened by extreme weather events.