Boeing Jet Deliveries to China Resume After US Tariffs Ease
China resumes deliveries of Boeing aircrafts after suspension.
Having agreed to a temporary truce in the ongoing trade conflict with the USA, China has lifted its ban on Boeing aircraft deliveries. The news comes as a much-needed boost for the aviation giant, with approximately 50 Boeing jets set to be delivered to China this year [1][2][3][4].
Previously, Chinese authorities had enforced a one-month ban on accepting US-made Boeing planes, amidst rising tensions between the two nations. However, following the easing of tariffs, Beijing has reportedly begun informing domestic airlines and aviation agencies that they can once again receive Boeing planes [1][2][3][4].
The airlines will reportedly have the freedom to organize the deliveries according to their own schedules and conditions. The trade truce saw the US significantly reduce tariffs on Chinese imports from 145% to 30% for 90 days, while China lowered tariffs on US goods from 125% to 10% [1][3][4].
Boeing, acknowledging the importance of the Chinese market, has seen around 10% of its commercial order book come from China. In the past, China has offered tariff exemptions for some aircraft parts. However, the US manufacturer has faced trade disputes with both the Biden and first Trump administrations, as well as the grounding of the 737 Max in China following two fatal crashes [4].
The resumption of Boeing jet deliveries provides a significant relief for the manufacturer, allowing it to save time and costs in searching for new buyers and securing substantial payments. Overall, analysts predict that China will account for 20% of global aircraft demand over the next two decades [4].
Sources:[1] ntv.de[2] jki/rts[3] Bloomberg News (People Familiar with the Matter)[4] Not Verified, UNKNOWN SOURCE
- Boeing
- China
- USA
- Tariffs
- Trade disputes
- The employment policy within Boeing, a leading aerospace company, will likely experience a boost as China resumes its orders for Boeing jets, a crucial market representing around 10% of Boeing's commercial order book.
- The finance department in Boeing might witness improved revenue streams, considering China's significant contribution to global aircraft demand and the anticipated delivery of approximately 50 Boeing jets this year, as a result of the easing of US tariffs.
