China orders its airlines to stop taking Boeing deliveries
Boeing fell in early trading as it landed in the middle of the rapidly escalating trade war between the US and China.
According to reporting by Bloomberg, China ordered its airlines to stop taking deliveries of Boeing aircraft and aircraft parts from other US companies.
China is a key growth market for Boeing, and the company expects it to order $1.2 trillion worth of jets over the next 20 years. The country made up roughly a quarter of the jet maker’s deliveries in 2018.
Boeing hasn’t received a major order from China since 2017 and has announced fewer than 30 airplane orders from Chinese companies since 2019. China ended a previous five-year import freeze on the company’s most profitable jets, the 737 Max, early last year.
Airbus pulled ahead in Chinese market share in 2019, after China became the first country to ground the 737 Max following two deadly crashes. Boeing recently closed its delivery gap with Airbus, delivering just six fewer airplanes to customers in the first quarter.
China is a key growth market for Boeing, and the company expects it to order $1.2 trillion worth of jets over the next 20 years. The country made up roughly a quarter of the jet maker’s deliveries in 2018.
Boeing hasn’t received a major order from China since 2017 and has announced fewer than 30 airplane orders from Chinese companies since 2019. China ended a previous five-year import freeze on the company’s most profitable jets, the 737 Max, early last year.
Airbus pulled ahead in Chinese market share in 2019, after China became the first country to ground the 737 Max following two deadly crashes. Boeing recently closed its delivery gap with Airbus, delivering just six fewer airplanes to customers in the first quarter.
