The new Brazilian administration of president Jair Bolsonaro will allow the proposed merger between Embraer's commercial aircraft division and Boeing.

Bolsonaro announced his support of the merger via Twitter on Thursday after meeting with representatives of Brazil's ministries of defense, science and technology, economy and foreign affairs.

"It was made clear that the nation's sovereignty and interests will be preserved," Bolsonaro said. "The federal government is not against the process moving forward."

Last month, Embraer and Boeing approved the terms of the $4.2 billion joint venture that is to be 80% held by Boeing and 20% held by the Brazilian regional aircraft maker. The companies reached a preliminary deal in July.

The transaction still must receive regulatory and shareholder approvals. It must also be ratified by Embraer's board of directors.

"Assuming the approvals are received in a timely manner, the transaction is intended to close by the end of 2019," Embraer and Boeing said in a joint statement Thursday.

The merger would give Boeing a leading position in the regional jet market of 70- to 90-seat aircraft, a segment in which it does not currently compete.

The Brazilian government owns a so-called golden share of Embraer, which gave Bolsonaro the power to block the merger, had he so chosen.

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