China has instructed its airlines to halt further deliveries of Boeing aircraft in response to the United States’ imposition of 145% tariffs on Chinese goods.
The Chinese government is exploring ways to support domestic airlines that lease Boeing aircraft and are now facing higher costs due to rising trade tensions with the United States, according to Bloomberg.
With Airbus already dominating market share in China, this development further hinders Boeing’s efforts to regain ground.
Considering China is projected to account for around 20% of global aircraft demand over the next two decades, losing momentum in such a critical market is a major setback for Boeing.
Trump on Friday said he was comfortable with the tariffs on China and hinted that a deal with Beijing might be possible, even offering praise for President Xi Jinping.
Still, there were no clear signs that either side was prepared to ease tensions.
“The president made it very clear: When the United States is punched, he will punch back harder,” White House Press Secretary Karoline Leavitt told reporters on Friday.
