Boeing charged Japan 1, 500% markup on part, Air Force says

Pricing poser:Boeing aircraft parked at the Boeing Field in Seattle. The company is under scrutiny for its pricing data on Japanese tankers managed by the United States Air Force. —Reuters

TOKYO: Boeing Co charged the Japanese government an “excessive” price for some spare parts for its refueling tanker plane, as much as 16 times more than the US Air Force paid for its latest versions, according to a service assessment.

In one example involving an April US$79mil (RM325mil) spare parts contract for the KC-46 tanker, Japan was billed for navigation lights made by subcontractor Honeywell Inc “at a unit price more than 1, 500% above the previous unit price, ” according to the previously undisclosed Air Force summary prepared last month.