Boeing Co. is facing a monthslong EU antitrust investigation into its plan to take a controlling stake in Brazil-based Embraer SA's commercial aircraft business, Reuters reported, citing people familiar with the matter.
The deal is expected to give Boeing greater presence in the lower end of the market and allow it to better compete against Bombardier Inc.'s CSeries jets, which are backed by Boeing's European rival Airbus SE, the newswire said.
The European Commission had earlier set an Oct. 4 deadline for a preliminary review of the deal, after which the EU competition enforcer will launch a full investigation that could take up to five months, according to the report.
Boeing said it will continue to work with authorities and follow through with the regulatory approvals process, Reuters reported, adding that Embraer and the European Commission did not comment on the matter.
