According to Bloomberg, the Chinese government has told the country’s domestic airlines to stop accepting Boeing jets as a trade war between the world’s two largest economies.
China has also instructed its operators to stop purchasing airline parts and other components from U.S. companies, Bloomberg reported.
Boeing did not immediately respond to a request for comment. The airline giant’s shares fell by $4.88, or 3%, to the previous deal of $154.40.
Stop accepting Boeing Jets orders after China promote Its retaliatory tariffs on U.S. goods up to 125%. This matches President Trump’s tariff levels on Chinese imports, although taxes on certain products may be as high as 145%. According to Bloomberg, China’s tariffs will more than double the prices of US-made aircraft and parts, making the cost unbearable.
Bloomberg reported that Boeing was scheduled to ship about 10,737 aircraft to Chinese airlines, including China Airlines, China Airlines and Xiamen Airlines. In the first quarter, Boeing provided a total of 130 aircraft, including more than 100 aircraft, the company said on April 8.
Bloomberg reported that some payments and delivery documents for some jets ordered by Chinese airlines may have been completed before the trade war expanded earlier this month. The News Agency reported that in this case, some aircraft may be able to enter China.
