US Government to Provide $482 Million in Aid to Aviation Manufacturers

United States President Joe Biden and his administration announced a fund consisting of $482 million available to aviation manufacturers that continue to struggle due to the coronavirus pandemic.

According to The Associated Press, the U.S. Department of Transportation revealed the taxpayer-funded relief was set aside to cover up to half of the payroll costs at 313 companies, a move that would save an estimated 22,500 jobs.

Transportation Department officials revealed that more than 100,000 aerospace jobs have been lost during the COVID-19 outbreak, with the Delta variant causing a higher number of cancellations and diminished travel over the last several months.

Some of the companies receiving money include Spirit Aerosystems ($75.5 million), Parker-Hannifin Corp ($39.7 million), Panasonic ($25.8 million) and Safran S.A. ($24.8 million). The funds are part of the $1.9 trillion package approved in March.

The Federal Aviation Administration (FAA) also recently awarded $100 million to aerospace companies including Boeing, General Electric and Pratt & Whitney as part of a larger effort to reduce plane emissions and noise.

The AP is reporting the $482 million the government made available to aviation manufacturers is similar—but much smaller—than the program developed to aid airlines in the U.S., which received $54 billion.

Earlier this year, the FAA announced a settlement with Boeing that would require the manufacturer to pay at least $17 million due to the installation of unapproved sensors and other parts on some Boeing 737 NG and 737 MAX aircraft built between 2015 and 2019.