Overview

• Two Boeing 737 MAX jets intended for Chinese airlines have been returned to the U.S., with one landing in Seattle and another en route via Guam.
• China has reportedly instructed its airlines to stop accepting Boeing aircraft deliveries in response to U.S. tariffs of up to 145% on Chinese imports.
• Retaliatory tariffs of 125% by China on U.S. goods, including aircraft, have rendered deliveries economically impractical for Chinese carriers.
• Malaysia Aviation Group is negotiating with Boeing to take over vacated delivery slots, potentially accelerating its fleet modernization plans.
• The trade dispute jeopardizes Boeing's market recovery in China, a key market projected to account for 20% of its long-term aircraft sales.