Overview
- China has instructed its airlines to stop accepting deliveries of Boeing jets and suspend purchases of US-made aviation components, citing retaliatory measures against US tariffs.
- The US imposed tariffs of up to 145% on Chinese imports, prompting China to respond with 125% duties on US goods, escalating the trade war between the two nations.
- President Trump accused China of reneging on a significant Boeing deal, claiming Beijing refused to take possession of previously committed aircraft orders.
- Analysts suggest the halt in Boeing deliveries could increase costs for Chinese carriers while enabling Boeing to redirect jets to alternative markets globally.
- The trade war has driven global businesses to shift production from China to Southeast Asia, seeking to mitigate the impact of rising tariffs.