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    Boeing Will Sell Its Digital Businesses for $10 Billion

    The deal, with the private equity firm Thoma Bravo, will help the struggling aerospace manufacturer pay down debt and streamline its operations.Boeing on Tuesday announced that it would sell a handful of navigation, flight planning and other businesses for more than $10.5 billion as the company works to refocus on manufacturing planes and other aircraft.The company, which also wants to reduce its large debt, said it would sell four businesses from a digital unit to Thoma Bravo, a private equity firm specializing in software. Those include Jeppesen, which provides navigational charts and information to pilots, and ForeFlight, an app that helps plan flights and monitor weather.“This transaction is an important component of our strategy to focus on core businesses, supplement the balance sheet and prioritize the investment grade credit rating,” Kelly Ortberg, Boeing’s chief executive, said in a statement.The company said that it expected to close the all-cash deal by the end of the year. The digital unit that houses those businesses employs about 3,900 people, though some of the unit will remain at Boeing. The company employed about 172,000 people as of the start of the year.Mr. Ortberg, who joined the company last summer, made streamlining Boeing’s operations a strategic goal as he tries to address concerns about the quality of the company’s planes that were raised after a panel blew off a 737 Max plane during a January 2024 flight near Portland, Ore.No one was seriously injured in that incident, but it renewed worries about Boeing’s planes several years after two fatal crashes of the 737 Max in 2018 and 2019. Safety and quality issues have stymied Boeing’s commercial plane production in recent years. Then last fall, production of the 737 Max, Boeing’s most popular commercial plane, came to a near standstill during a two-month worker strike.In January, Mr. Ortberg said that the company had resumed production of the Max, and was making more than 20 of those planes per month as well as five of the larger 787 Dreamliners.That is well below the goal the company had set before last year’s panel incident of delivering 50 of its 737s and 10 of its 787s per month. Boeing has about 5,500 outstanding commercial plane orders, valued at hundreds of billions of dollars. More

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    Trump Administration Delays Requirement for Companies to Track Tainted Food

    A law passed in 2011 required food companies to track food in the event of contamination and a recall. The administration delayed the move, set to take effect next year, for 30 months.The Food and Drug Administration said on Thursday that it would delay by 30 months a requirement that food companies and grocers rapidly trace contaminated food through the supply chain and pull it off the shelves.Intended to “limit food-borne illness and death,” the rule required companies and individuals to maintain better records to identify where foods are grown, packed, processed or manufactured. It was set to go into effect in January 2026 as part of a landmark food safety law passed in 2011, and was advanced during President Trump’s first term.Robert F. Kennedy Jr., the health secretary, has expressed interest in chemical safety in food, moving to ban food dyes and on Thursday debuting a public database where people can track toxins in foods. But other actions in the first months of the Trump administration have undercut efforts to tackle bacteria and other contaminants in food that have sickened people. The administration’s cutbacks included shutting down the work of a key food-safety committee and freezing the spending on credit cards of scientists doing routine tests to detect pathogens in food.There were several high-profile outbreaks in recent years, including the cases last year linked to deadly listeria in Boar’s Head meat and E. coli in onions on McDonald’s Quarter Pounders.The postponement raised alarms among some advocacy organizations on Thursday.“This decision is extremely disappointing and puts consumers at risk of getting sick from unsafe food because a small segment of the industry pushed for delay, despite having 15 years to prepare,” said Brian Ronholm, director of food policy at Consumer Reports, an advocacy group.Many retailers have already taken the steps to comply with the rule. Still, trade groups for the food industry lobbied to delay implementation of the rule in December, according to The Los Angeles Times.In a letter to President Trump in December, food makers and other corporate trade groups cited a number of regulations that they said were “strangling our economy.” They asked for the food traceability rule to be pared back and delayed.“This is a huge step backward for food safety,” said Sarah Sorscher, director of regulatory affairs at the Center for Science in the Public Interest, an advocacy group. “What’s so surprising about it is this was a bipartisan rule.”Ms. Sorscher said there was broad support for the measure, since it would protect consumers and businesses, which could limit the harm, the reputational damage and the cost of a food recall with a high-tech supply chain. More

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    Trump’s Tariffs Could Deal a Blow to Boeing and the Aerospace Industry

    Aerospace companies are big exporters but also very reliant on a global supply chain, making them vulnerable.Boeing is the kind of manufacturer — one that exports billions of dollars of goods — that President Trump says he wants to protect and nurture.But his tariffs could have the opposite effect on the company’s suppliers.Mr. Trump has imposed a few tariffs so far, but he says more are coming in just a few weeks. That threat has unnerved the aerospace industry, of which Boeing is one of the largest companies. Duties on aluminum and steel, two of the most important raw materials used in aircraft, are expected to raise manufacturing costs. But the industry is far more concerned by tariffs that take effect on goods from Canada and Mexico next month, which could disrupt the highly integrated North American supply chain.“These tariffs are particularly fraught for an industry like aerospace that has been duty-free for decades,” said Bruce Hirsch, a trade policy expert at Capitol Counsel, a lobbying firm in Washington, which has aerospace clients. “Parts are coming from everywhere.”Aerospace experts say the industry is an example of U.S. manufacturing prowess. It offers well-paying jobs and has produced one of the largest trade surpluses of any industry for years. Aerospace is expected to export about $125 billion this year, according to IBISWorld, second only to oil and gas.But the industry is operating under a cloud of uncertainty. Many companies have been able to avoid costly cross-border tariffs under a short-term reprieve for products covered by a North American trade agreement that Mr. Trump negotiated in his first term. But that deal expires in April.In a letter to administration officials last week, groups representing airlines, plane repair stations, suppliers and manufacturers asked for an exception to the tariffs, arguing that it was needed to keep the industry competitive on the global market.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    In Ukraine’s Frontline Town of Sloviansk, a Taste of Normalcy Beckons

    Serhii Kovalov doesn’t like sushi. Nor does the sushi chef at his restaurant in eastern Ukraine.But when customers started asking for it, Mr. Kovalov navigated both enemy shelling and ordinary supply-chain issues to get fresh fish for Philadelphia rolls to his frontline town, Sloviansk.Now, as Russian forces have drawn closer and life gets more bleak, many Sloviansk residents are weighing whether to flee. Not Mr. Kovalov. He’s determined to keep serving sushi to soldiers and civilians who are seeking comfort, sustenance or a taste of something special after more than three years of war.“I know I’m needed here,” the 30-year-old Mr. Kovalov said, gesturing at the restaurant and the town outside that has long been in Russia’s cross hairs. “So I stay.”Sushi has long been wildly popular in Ukraine, and for people in Sloviansk, this treat provides a sense of much-needed normalcy.When Sloviansk came under attack in February 2022 when Russia’s full-scale invasion began, sushi wasn’t even on the menu at Mr. Kovalov’s restaurant, Slavnyi Horod, or “Glorious City.”Serhii Kovalov, the restaurant’s owner, in front of an apartment he was living in with his wife when it was hit by a Russian missile in 2022.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    Oil Companies Wanted Trump to Lower Costs. Tariffs Are Raising Them.

    President Trump’s promise during last year’s election to make it far easier to drill for oil and gas thrilled energy executives who believed his policies would lower their costs and help them make a lot more money.Those hopes are now fading. Thanks to Mr. Trump’s tariffs, the oil and gas industry is contending with rising prices for essential materials like steel pipes used to line new wells.That has not yet translated into a meaningful change in U.S. drilling activity or production expectations, but companies have begun revising budgets to reflect higher materials costs. Decisions made today about which wells to drill will affect production many months from now.Oil refineries are separately bracing for a tariff on Canadian oil, which some of them need to produce gasoline, diesel and other fuels.At the same time, consumers have grown jittery about the economy and the price of oil has fallen about 10 percent since just before Mr. Trump took office, to around $70 a barrel. Oil companies tend to drill less when prices fall.The combination could complicate Mr. Trump’s stated desire to juice U.S. oil and natural gas production, which are already at or near record highs.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    Airbus, With Eye on U.S. Race, Says It Will Be Ready for Higher Tariffs

    The giant European airplane maker’s chief executive said it would pass along any higher charges to its customers.Airbus, the world’s largest commercial airplane manufacturer, said on Wednesday that it was preparing for the possibility that the United States would impose new tariffs on all imports, and that the company would deal with the higher charges by passing them along to its airline customers.In a call with reporters, Airbus’s chief executive, Guillaume Faury, said the European company was monitoring the U.S. presidential election next week and would be prepared for the possibility of a new 10 percent tariff. Former President Donald J. Trump, the Republican candidate, has made sweeping tariffs a critical plank of his economic platform if he wins.Mr. Faury said any new tariff would be passed along to Airbus’s airline customers, in much the same way that Airbus dealt with a tariff that Mr. Trump put on European aircraft in 2020 as part of a long-running airplane subsidy dispute.“So that’s something we will be discussing with our customers” if necessary, Mr. Faury said. “But it puts them in a difficult place of adding an additional cost on what they have ordered and what they’re procuring,” he said. “That’s basically mainly a decision of the state that has to be borne by the companies.”He added: “So we are prepared. We know what it feels like. We don’t believe that’s helping aviation and the competitiveness of the airlines and the aviation industry, but it’s something we would be able to manage.”Airbus on Wednesday announced a 22 percent jump in its net profit for the first nine months of the year despite major problems in its supply chain. Mr. Faury said that Airbus’s net profit rose to 983 million euros, or $1.1 billion, through September, and that its third-quarter adjusted earnings before interest and taxes were €1.4 billion.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    Exploding Pagers Deliver a Supply Chain Warning

    The attacks on Hezbollah in Lebanon are likely to generate greater momentum for moving factory production closer to home.The lethal detonation of hand-held pagers and walkie-talkies used by Hezbollah militants this week in Lebanon demonstrated powerful spycraft, but it also raised questions about a gaping vulnerability in the global supply chain.That chain is astonishingly complex. So complex that it is probably beyond the powers of governments, corporations and other interested institutions to police. Even the most sophisticated participants are often unclear on who they are relying on for critical parts and raw materials, or where the risks lie.The clear lesson of the supply chain upheavals that accompanied the pandemic was that the longer the journey entailed in making any product, the greater the chance that something might go awry, inflicting delay and higher costs.Now there’s a potent yet related concern: The more complicated the journey, the greater the exposure to mischief.Every movement along the way, and every additional company brought into the manufacturing process represents an opportunity for those pursuing violent agendas to insinuate themselves into the works and weaponize the product.“Companies must decide which level of security must be implemented in their supply chains,” Hannah Kain, the chief executive of ALOM, a global supply chain company, told DealBook. “We just moved several notches out on the paranoia scale.”We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    Backlash Erupts Over Europe’s Anti-Deforestation Law

    Leaders around the world are asking the European Union to delay rules that would require companies to police their global supply chains.The European Union has been a world leader on climate change, passing groundbreaking legislation to reduce noxious greenhouse gasses. Now the world is pushing back.Government officials and business groups around the globe have jacked up their lobbying in recent months to persuade E.U. officials to suspend a landmark environmental law aimed at protecting the planet’s endangered forests by tracing supply chains.The rules, scheduled to take effect at the end of the year, would affect billions of dollars in traded goods. They have been denounced as “discriminatory and punitive” by countries in Southeast Asia, Latin America and Africa.In the United States, the Biden administration petitioned for a delay as American paper companies warned that the law could result in shortages of diapers and sanitary pads in Europe. In July, China said it would not comply because “security concerns” prevent the country from sharing the necessary data.Last week, the chorus got larger. Cabinet members in Brazil, the director general of the World Trade Organization and even Chancellor Olaf Scholz of Germany — leader of the largest economy in the 27-member European Union — asked the European Commission’s president to postpone the impending deforestation regulations.The uproar underscores the bruising difficulties of making progress on a problem that most everyone agrees is urgent: protecting the world’s population from devastating climate change.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More