Boeing issues response to Trump’s Air Force One announcement

President-elect Trump tweeted Tuesday that costs for a new Air Force One plane are “out of control, more than $4 billion.”

Shortly after posting this tweet, Trump told reporters, “I think Boeing is doing a little bit of a number. We want Boeing to make a lot of money but not that much money.”

Boeing issued an immediate response, stating “We are currently under contract for $170 million to help determine the capabilities of these complex military aircraft.”

However, despite the large discrepancy, Trump’s claim that costs are rising past $4 billion are not entirely baseless.

The specific program that Trump and Boeing are referring to is the Presidential Aircraft Recapitalization, or PAR, program. Boeing’s current $170 million contractis focused exclusively on pre-manufacturing risk reduction activities for the PAR program, and does not cover construction costs.

The Air Force announced plans Sept. 12 to replace two aging Air Force One aircraft with two new, modified 747-8 planes under the PAR program.The Air Force noted that a third Air Force One aircraft is “still under consideration for future procurement.”

The Government Accountability Office estimated in March that development of two aircraft under the PAR program would cost an estimated $3.21 billion through 2020, with almost $2 billion earmarked for research and development.