like aero flood or 7 cannot receive spare parts and updated service manuals from companies like airbus. boeing or other western suppliers raising worries about the long term safety of the russian commercial and car. for more on the state of the russian aviation sector, i'm now joined by steven. right. he's an industry professor, specializing an aircraft engineering at temper university and philip, welcome to d w. steven, the european union aviation, a safety agency says it is very worried about the state of western made aircraft flying in russia. do you agree? yes, i do. actually. i think the a also has made a very good judgment co understanding the aircraft all across the maintenance that's done to a specific standard. and if aircraft they're operated outside of those standards, then this is a safety issue. let's take a look at rushes, maybe most prominent carry here aero slot out of it's 187 planes, all but 10 are made by air bus and boeing which cannot service these aircraft anymore. what does that mean? how do you keep these planes are ready to fly? that's a really interesting question and

ensure the supply of our airline with modern, reliable, economically profitable equipment by the airbus boeing airliner, which , in fact, left our market. having forewarned the partnership with us, the second task is to import substitution of these parts, which are now stand on our flagships, our ms-21 and superjet aircraft, the new aircraft must be independent of foreign deliveries, equipped with domestic engines according to the market needs. can be divided into four segments long-haul liners, medium and short-haul aircraft , as well as regional aircraft capable of using airfields with weak infrastructure for each. we need training programs, which means that training centers with operating simulators literally in march adopted the final decision, then the program for the purchase of civil aircraft until the thirtieth year, which provides for the purchase of about 600 aircraft of various types, forming an order is formed and the capacity for this plan is unprecedented in its scale, so many aircraft in such a timeframe in modern russia have not yet been built. where will it begin? superjet new

narrow-body medium-sized mainline aircraft the most common aircraft in the world, for example, boeing 737 or airbusarket price, let's say the catalog price of boeing airbus exceeds $ 100 million, and the next question, regarding our aviation ? domestic aircraft of domestic engines in what condition is it now? how is it planned to develop it and when we will completely switch over, i would like to have our own fleet of aircraft. is this possible, are there such plans for the future, the fleet of domestic aircraft, we now have a small fleet, if we take the main fleet, then this is mainly short- haul superjet 100 about 150 units in the operation of the airline and a certain number of other types of aircraft, maybe about 20-30 units, however, we are now here came close to the deployment of mass production. e main aircraft. xxi century ms-21, today the task is to replace all components with domestic counterparts, since our aviation industry has developed very intensively over the past decade. today we are able to produce aviation equipment, almost any range of e products of not worse quality than foreig

it could be from airbus or boeing or mix of the two. state run airline is looking to overhaul its fleet. global news 24 hours a day on air and on bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. manus: thank you very much, juliette saly in singapore. coming up, we will speak to the qantas ceo about the airline industry as a struggles to cope with the resurgence of demand for travel. revenge travel is live, it is back, but can it endure? we discuss on bloomberg. ♪ manus: it is "daybreak: europe." let's get straight out to guy johnson on the ground in doha and has a special guest. guy: a lot of guests lined up, we have a fantastic guest to talk about the aviation industry and the recovery. alan joyce is the ceo of qantas. good morning. fantastic to be here. looks like the aviation industry is getting back on its feet. almost too quickly, some would argue. huge pickup in demand. is it sustainable? alan: i think it is not there is pent-up demand for people who could not t

we often talk about boeing and airbus when it comes to aerospace and aircraft how much is the macro biggerinto your model as an analyst. >> that's a very important question we spend a lot of our time forecasting the demand for travel we've been saying now for quite some time that we expect global air traffic to get back to where it was pre-pandemic in about 2024 and that's about how it's playing out. the biggest variable there for traffic is what happens to traffic in china with the shutdowns that we saw in china, that kind of put a halt to their travel markets for a while, so it's been bumpy in the pacific rim, but traffic flows across the domestic markets to cross borders in europe have been doing quite well so an important piece for all of these companies both in their new oem equipment sales and in their after-market sales is a recovery in air rastraffic and that's what we've seen that's been bumpy to say the least and it's been up and to the right. so it's been going in the right direction. >> right with some overriding volatility. >> all right so it's garmin, hexcel, triumph, ron eps

now boeing airbus has stopped maintenance of russian airlines and the supply of spare parts.addition, the us authorities have banned the supply of spare parts to aeroflot utair and azu. not only directly from the usa but also through these countries elya about the economy so far everything yes marina thank you marina pimenova with an economic review. today, the world celebrates the day of the fight against ammyotrophic lateral sclerosis or stephen hawking's disease, this is a rare disease of the nervous system, in which the patient stops moving independently, speaking and breathing, scientists have not yet been able to identify the causes of the diseases and find effective treatments. in addition, this type of sclerosis is very difficult to detect, as a rule, the diagnosis is made after a long examination. at best. it lasts six months, however, experts have developed a unique therapy that allows you to keep the patient's muscles in good shape with those who are struggling with this disease met svetlana gordeeva and we also have an electric wheelchair. here we are driving it.

that the fuel is increasing it could well help boeing because ultimately you have issues from boeing and airbus. i'm with tim, i think it is a longer term play but i think it will catch up to it. >> guy, what is your take? >> well, it is interesting i mean commercial airlines, everybody associates boeing with commercial air it is only a third of their revenue. they don't get any credit whatsoever for the aerospace defense and services business, which is the other 65% of the company. that's on boeing, by the way they've done a really miserable job of trying to sort of illustrate that and tell that story to the street, or maybe the street isnot listening i don't know i hear what courtney and tim are seaing, but i don't see any compelling reason to get involved in boeing they've had every opportunity, and every time it goes down it is a boeing-specific thing i'm inclined to wait this one out. >> yeah. pete, how about you? >> yeah, i'm matched up with guy on this one. you know, it is not a supply -- it is a supply issue it is not a demand issue they have the demand they just have to be able to get

airbus. >> exactly. i'm normally pro-america guy i love to buy boeing.ately created long duration problems for themselves there is no quick fix for. airbus on the other hand is good position in the aero body and wide body market. we like the story. >> 380 is popular plane. you may be pro-american but you want to be pro money. you want to make best investment. if european consortium runs airbus so be it, correct? >> correct. liz: talk about a barbell approach. you are enduring this. what is on one side of this bar, what is on the other? >> let's understand where we are right now. we know the fed raised interest rates and needs to keep doing it. liz: oh, yeah. >> chairman powell was on a talking parade today, he needs to keep talking tough, because the fed needs to enforce the idea they will be the tough cop cop out there. liz: even if it tips us into recession? >> even if it does. we have kind of everything bubble, liz. as that deflates there could be negative knock-on effects. you have to have humility as an investor, understand it. you can't predict how

shery: a large order of narrowbody jets, as the carrier is looking at purchasing as many as airbus a320 or boeing max planes. that will likely take years or decades to fulfill in order that size. boeing declined to comment. annabelle: the australian financial review shows that they have overridden the governor's wishes to review the central bank. guidance during covid-19, interest rates not expected to rise until at least 2024. the investment aimed at kickstarting the aviation industry, and reports from brazil says the market halted production. coming up next, british leaders need to be more proactive with post-brexit trade deals. that exclusive interview is next. this is bloomberg. ♪ (police radio call) (sirens) (news report) (sirens) (news report) >> some data crossing the bloomberg. this is the expansion of the services industry in new zealand, the fastest pace in 11 months. this is coming off a revised 55.2 in april and the third straight month we have seen the gauge be above the 50 mark. we see some broad improvement there which will come as a positive element given that we had last week the

fleet was supposed to consist of eight airbus a320 neo aircraft, he was going to be based in kazan and omsk to fly between russian cities , bypassing moscow, but now boeinghas stopped supplying spare parts and stopped maintenance of russian aircraft. in addition, europe has banned leasing aircraft to russian airlines. thanks to denis talalaev with business news. the future of the russian higher school in the light of the exit from the so-called balloon system today the rectors of the leading domestic universities is a topic that is important for students. yes, and the trend of the economy towards import substitution, and, accordingly, the need for personnel with new competencies also requires certain changes . global political upheavals are forcing us to reconsider our previous guidelines. in particular, they talked about russia's withdrawal from the bologna system of education. today at the tenth forum the rectors the leading universities of the country discussed which way domestic science and higher education would go, the main conclusion. there is no need for sudden movements, it is not worth abandoning bachelor's and master's programs indiscriminatel

were times when the same aircraft industry was considered a secondary task and they bought these airbus boeings we have american partners there, we have french partners, and we will do everything together with them. well, maybe, uh, one very important thesis. another thing is that changes have taken place not only in the economy, in general, if we are talking about politics, just the same. and as for international law, you will notice in such difficult conditions, we did it anyway. so we will play and the whole world of astronomy was not invented according to the rules by someone not according to concepts, but nevertheless, according to and within the framework of international law, we do not talk about who complies, who does not comply, we only talk about ourselves and, perhaps we have the right to speak morally. in this case, it's about yourself. we don't care, no matter what actions we take, starting from the fact that the dpr of the lpr was recognized. yes , despite not saying that they asked us to help now, they asked us to help in syria as well. we were there, too, within the framework of

so it's been 3 and 4 years. russia don't have to get any boeing any airbus on these fleet. so we observe exactly the same. we observed in 2014, 2015. that even if the west want to take back the sanctions, russia will continue to adopt a sanctioned because they can trust the west anymore. and it's a, it's concern, of course the planning in just a tense industry. it's called a cheap production where there are no investing a huge amount of money because they want to be independent using a chinese technology as well. but it's, it's a, we don't have to, we have to, to understand that russia need sanctions. and in my opinion, since the beginning, when a very me put into the decision to start the special apparition, it was thinking about that. let's, let's do to we're what we did in 2014, 20152016. it was quite difficult during the 3 years, but after 2017, everything was already ok. all the logistic of movement, no, i reoriented to what i to what india and actually in 3 months is it will be completely realistic to it. so, sanction is good for russia. let me go and finish out here.

the bots used by foreign-made russian airlines in the first place are the american boeing and the european and airbus, replacing them with all these sanctions and stopping the supply of civilian aircraft to russia due to spare parts will become domestic models, for example, ms-21. this is a project of a family of short and medium-range jet passenger narrow-body aircraft, it is the second largest scale after the superjet 100 programs in the field of civil aviation and we are 21 designed for flights over a distance of about 6,000 km. aircraft ssju. this is a modification of the superjet 100 with the maximum use of russian components and systems, the ministry of industry and trade initiated the project just after the next package of restrictive measures was introduced against russia, but experts say it will take more time to completely get away from foreign components. a full 100% import substitution will still take a few years for our airline. i think, that somewhere by the middle of the thirties we will be able to completely switch to domestic aircraft in all classes in all market niches, the regional

so it's been 3 and 4 years. russia don't have to get any boeing any airbus on these fleet. so we observe exactly the same. we observed in 2014, 80015. that even if the west want to take back the sanctions, russia will continue to adopt a sanctioned because they can trust the west anymore. and it's a, it's concern. of course, the planning in just to print industry is concerned the cheap production where there are no investing a huge amount of money because they want to be independent using a chinese technology as well. but it's, it's a, we don't have to, we have to, to understand that russia need sanctions. and in my opinion, since the beginning, when a very me put into the decision to start the special apparition, it was thinking about that. let's, let's do the we're what we did in 2014, 20152016. it was quite difficult during the 3 years, but after 2017, everything was already ok. all the logistic of movement. no, i really wanted to idea to what india and actually in 3 months is it will be completely a risk to it. so, sanction is good for russia. let me go ahead and finish

used by russian airlines of foreign production in the first place, these are american boeing and european and airbus replacing them with all these sanctions and stopping the supply of civilian aircraft and spare parts to russia will be domestic models, for example, ms-21. this is a project of the middle and middle family long-haul jet passenger narrow-body aircraft. it is the second largest civil aviation program after the superjet 100, and we are with 21 designed for flights over a distance of about 6,000 km. aircraft ssj. u is a modification of the superjet 100 with the maximum use of russian components and systems. the ministry of industry and trade initiated the project just after the introduction of another package of restrictive measures against russia, but experts say it will take more time to completely get away from foreign components. to the full 100% import substitution is still needed. a number of years while in our airline. i think that somewhere by the mid-thirties we will be able to completely switch to domestic aircraft in all classes in all market niches, the regional aviation fleet

these are the american boeing and the european and airbus replacements for them in the light of sanctionson of deliveries of civilian aircraft to russia from spare parts, domestic models will become, for example, ms-21. this is a project of a family of short-range and medium-range jet passenger narrow-body aircraft. it is the second after the superjet 100 large-scale program in the field of civil aviation and ms-21. designed for flights over a distance of about 6,000 km. airplane ssg. new this modification of the superjet 100 with the maximum use of russian components and systems the ministry of industry and trade initiated the project just after the introduction of another package of restrictive measures against russia, but in order to completely get away from foreign countries. components will need more time, experts say. full 100% import substitution will still be needed. a number of years while in our airline. i think that somewhere by the mid- thirties we will be able to completely switch to domestic aircraft in all classes in all market niches. the mark of regional aviation is to be

the same type of hull layout, and i will remind him that, in fact, even the civil version of boeing and airbusre trying to unify as much as possible, that is, it is easier for people. no need to retrain to other controls, therefore. of course, it was easier for the syrian military to take an upgraded version of a machine that they don’t know by heart than to retrain for some other one. and by the way, for we are even more expensive, so to speak, the type in delivery in training, and so on and so forth, moreover, again everything depends on the theater of operations, if this tank is to collide, forgive me, not the modern nato-class armies that lead some what actions again in the defense of the offensive? and, let's say with some so to speak, there, but the military military formations of terrorists and gio organizations came to russia completely, that is, 62m is suitable for destroying some of them. i definitely don’t see anything, a now i propose to include e in our conversation andrei vasilyevich boevsky, deputy of the people's council of the dpr, lieutenant colonel of the missile forces. hel

the carrier is rolling out a purchase of as many as 300 airbus neo's or boeing 737 max plans or both.n and delivery of an order of that size would likely take years or even decades. air and boeing declined to comment. this is a landmark u.s. case that could change the tech giant's retail operation. the bargaining unit could spark a wider movement across apple stores. >> let's get a check of the markets here. just taking a look at what is going on with the bloomberg intelligence gauge. we have the first covid infections in eight months. enough to gain another blow to the sector. operations are mandated -- mainly suspended here. 34 covid positive cases coming in. they were young, bitcoin and the crypto space also just feeling it. bitcoin is the biggest. they are flirting with 20,000. it has just been hovering around that psychologically important level. does it go to 10,000 or 30,000 next? >> we are paring off with a lot when it comes to brent but then again, we are extending the collapse on friday. new york road is -- crude is still below 10%. you have the deli move, the demand destruc

like a luxury hatch car and its interior is the most spacious among odnoklassniki of those boeings and airbussigned to replace, ms one should become the most massive passenger aircraft in the russian fleet year to reach the volume production for at least 72 years. this is a real number. but i tell them again that this composite hull, in which we are located, is designed for 36 aircraft. we have a smooth prospect building project on the neighboring territory across the road of the second building. here is the expansion of production volume. and then we will go to 72 anatoliy gaydansky project manager ms-21. under his control, the production of all components for the aircraft is important, because if they suddenly stall, at least one of the suppliers of the liner, the term will not be ready. you said that you control all suppliers at all stages of their production. here are the quantities that were announced. enough engines, but of course, a good question. we also periodically rent it to our colleagues. they say that for this you need to work hard, but they promise that, in addition, the il-114

e transition to their own technology aviation was the morning of the sanctions european airbus and american boeingh today are registered in the russian register provide transportation within the country, but now can not be serviced by official dealers, parallel imports and spare parts made in russia problems. they can solve only partially, we do not have any technical and technological documentation. and so apparently. maybe we will even agree that, as the park degrades, spare parts will be removed. and this must be foreseen. well, the calculations of the ministry of transport show that we will live on the operation of this park for quite 5 years, and i think that during this period russian aviation industry. it is simply obliged to reach those serial deliveries that are guaranteed to provide all the necessary transportation of both passengers and cargo, the industry is ready to support chinese partners. as stated in the diplomatic department of the prc, beijing is ready to supply russian airlines with spare parts for aircraft. we see no mini. or an obstacle between uh cooperation between the two

doing anything sexy in the wide bodies and being able to come pete with airbus, but maybe we got a double bottom. >> jeff mills, boeing. >> yeah, i wouldn't take a whole lot of comfort i think it's this oversold bounce i don't know if you're going to get a consistent move to the upside i don't think i've ever trade boeing on this show. the company needs to show me more recession risk is bad. debt level's too high. issues and delays with production is leading the higher costs and margin pressure. just sort of one problem after the next generally poor execution if it gets to 100, i'd maybe play it for a trade there. >> and oracle giving up some gains after a solid earnings report, but still up for the week so jeff, trade or fade oracle? >> yes, so this is a stock we like i've sort of been talking about that defensive technology play i think this is one of them. then cloud for some upside i think they had another solid quarter. 20% growth in cloud. double digit growth for their core business and management is saying cloud's going to accelerate if you look out to that growth in 2023, they're talking about 20% growth there

and what does it mean to produce by plane, of course, the boeing airbus produces them on a stream, theree need to take people who know how to understand the technologists of the workers, that is, it is necessary, without hesitation, to hunt for heads all over the world. and here's how to do the same china when it needed to raise its own , they removed the it industry and now do it, therefore, we need to move on to an aggressive policy. you absolutely need to be focused more precisely, and at the same time, it is necessary to win, comrade of generals, the key word is aggressive policy, that's probably. based on those, let's put emotions on the shelves. everything is fine. the first, most important thing is that all the measures that were announced at the summit, including the supply of weapons. now they are supplying rocket launchers, they are supplying howitzers. they will supply everything there, right down to the lights out, only to prevent us from winning. it must be clearly understood that the next one will be aircraft there, then air defense, then against missiles. well, i'm going t

refuse technology from boeings from airbus of from the motherland of allah is called between the motherlandor us is the territory of the soviet union, of course, then, of course, let's but in reality we must pay attention. we have a very interesting program today, all the programs are interesting, but i am such propaganda, and the anti-putin anti-russian view of ntv, to be honest, i did not expect all interviews to be given in full. yes, all without clippings. well, the only mat, it's muffled, and that's it. yes, the level, that is, you would have cursed, that is, you would also have somehow drowned out, here, which characterized the future, when it will definitely happen someday, here it is either with us or with them, but there will definitely be something, you understand the level of this openness and quoting of opponents. now, unfortunately, our opponents is unacceptable. and it's right on my own me. honestly, even today it surprises, you know, you can say whatever you think is necessary. i know how the transfer calls are being prepared. uh, the person who is responsible for these invit

. >> i like airbus what bothered me at boeing, i sold some for the charitable trust, we first br toldlem. and here it is now, it's still not solved that china order, you have it clear about the balance sheet. what bothered me about boeing was the balance sheet. there are very few companies with as weak a balance sheet >> took on a lot of debt the beginning of the pandemic. we always pointed to that. then a turning point >> what was it 26? >> that was negotiated >> but they still have the debt. >> i think they thought they could do the debt deal, the equity deal. when i was talking about dutch bros, i said, guys, do an quit offer. you have enough money in the bank i'm not seeing the equity offerings i would be doing if things are as dire as people are forecasting. most of the companies i know, david costin, who i hope to see this afternoon, is saying that the buybacks are the biggest but if you're a crotcfo and you don't have a lot of money, this is your chance >> to you do that when you have to, not when it's a necessity, not a luxury [ applause ]. >> you don't want to do it in advanc

i do not understand why you signed an agreement that targets boeing and not airbus? that targets caterpillar jon deere but not their foreign competitors. so my question is, given the fact that our u.s. tax base for u.s. taxpayers, will you commit to walk away from any deal on pillar one or pillar to that results in lower tax revenues for the united states? >> on pillar one which i think you are mainly referring to in your remarks, the proposal is to subject a portion of the profits and highly profitable multi nationals wherever they are based to share globally a portion of those taxing rights. in the united states is a large market economy will gain the ability to tax a portion of the excess profits of foreign companies we've not yet been able to come to provide an estimate of exactly what the net gain or loss is because there are critical details of a pillar one. >> madam secretary i understand you are in those negotiations. but i think you will admit the majority of this tax revenueses will come from u.s. businesses in the u.s. tax base. and secondly i would love t

airbus planes. you are at the back of the line for several years. but even boeing its challenges delivering planes. it is difficult to get staff. it is just very hard to grow right now organically as an airline in this operating environment, and i think jetblue realizes that. they see jetblue as an easy way to add capacity, and that to me is why they are pursuing this as strongly as they are. alix: brooke, we always appreciate it. guy does other things than just report on airlines over the weekend. coming up, we will take a look at d.c. this is bloomberg. ♪ dad! a dinosaur! it's just a movie. no dad, a real dinosaur! show doorbell camera. the new xfinity video doorbell works with your xfinity home system for real-time alerts no matter what's at the door. get off the car... it's a lease! jurassic world dominion, in theaters june 10th. rule your home security with xfinity home. (announcer) enough with the calorie counting, carb cutting, diet fatigue, and stress. just taking one golo release capsule with three balanced meals a day has been clinically proven to repair

airbus management opposed the embargo on the supply of russian titanium, there will be no beggar will make new aircraft of the enterprise. may close for about a year until they find and certify. well, the boeingplier of the americans is probably already rubbing their hands, and in this not too warm and not quite friendly, for the contradiction between members and with a lot of environment, european presidents and prime ministers should discuss. the main issue on the agenda is the status of candidates for joining the european union of ukraine and possibly moldova there is also georgia, but she was told to wait, yes, better times would be a mistake for us to close the doors before ukraine and we have reached an agreement in the european parliament and in the european council on the announcement of ukraine as a candidate country, it still has many different steps to take, but at the moment it is a symbol of hope for ukraine, that is, kiev was promised a consolation prize candidate status is not yet a guarantee of entry turkey received it in the ninety-ninth and since then 23 years standing in line, and next to miss north macedonia 17 years of waiting, montenegro 12 years albania eight, perhaps k

boeing is about civil aircraft. well, it will. naturally, first of all, we will not talk about defense just by itself, but it’s not at all a common truth for many that airbusions and is actually a consolidated single, military bloc, which is now being spun into constant confrontation, not only with us, but from china, and when we talk about china, i would not forget. and about the archipelago was asked for the so-called islands, which china washed up and did it specifically to control the south. forgive the way, but actually squeeze the way. i am terribly squeezed by a man at the throat, because without this there is none. europe, america may still live along the paths with you, but europe lives precisely by the strait of malacca and everything that concerns passing by the archipelago. it is very important to remain in the northern sea route, so from here. i just suggest that everyone look carefully at nato optics nato association russian temp because, first of all, it is a maritime civilization that lives by importing 80% of the american labor market. what is the service sector? yes, unlike ours, we have an industrial camera, which is why, returning to th

i don't understand why you signed agreement that targets boeing but not airbus. caterpillar and john deere but not the foreign competitors volvo or korematsu. so my question is, given the fact that our u.s. tax basis for our u.s. taxpayers, when you commit to walk away from any deal on pill to one or pillar two that results in lower tax revenues for the united states? >> well, on an older one which i think you were mainly referring to in your remarks, the proposal is to subject portion of profits of all large multinational and highly profitable multinationals wherever they are based to share globally portion of those taxing rights. and the united states as a large market economy will gain the ability to tax a portion of the excess profits of foreign companies. we have not yet been able to come to provide an estimate of exactly what the net gain or losses because there are critical details -- >> madam secretary, i understand you're in those negotiations but i think you will admit the majority of those tax revenues will come from u.s. businesses in the u.s. tax bas