Boeing has dropped plans to collaborate with an Italian aerospace firm to build a military transport aircraft at a new plant in Jacksonville, Fla.
Boeing, who’s been an on-again, off-again partner with Italy’s Finmeccanica in plans to build the C-27J transport plane for the U.S. military, said it has abandoned efforts to reach a production agreement with the Italian plane maker.
“For us, it wasn’t about the airplane. It wasn’t about the team,” William Barksdale, a Boeing spokesman, told Reuters. “It’s purely the economic climate.”
The Army and the Air Force together have ordered 145 of the twin-engine turbo-prop aircraft. That order is worth $5 billion.
The first two examples of the plane have been produced in a plant in Turin, Italy. Finmeccanica said it will continue building the new plant without Boeing.