China has ordered its airlines not to take any further deliveries of Boeing jets, Bloomberg reported on Tuesday.
This comes amid the face-off between the United States and China following the Donald Trump administration’s imposition of 145 per cent tariffs on Chinese goods. Beijing hit back with retaliatory tariffs. Sources quoted in the Bloomberg report said Beijing has also asked that Chinese carriers halt any purchases of aircraft-related equipment and parts from US companies.
According to the global aerospace company, Boeing airplanes have been the mainstay of China’s civil aviation passenger and cargo transportation systems for more than 50 years.
Boeing is the largest customer of China’s aviation manufacturing industry, with over 10,000 Boeing airplanes flying with China-made parts. According to the company, Boeing activity in China contributes more than USD 1.5 billion annually in direct support of China’s economy, including suppliers, joint ventures, operations, training, and research and development investment.
Last week, China announced retaliatory tariffs of 125 percent on goods from the US entering China.
The Trump administration, however, on Saturday, exempted electronics like phones, computers, and other electronics from the reciprocal tariffs imposed on other nations, including China.
Meanwhile, Chinese President Xi Jinping is currently visiting countries in Southeast Asia, including Vietnam, Malaysia, and Cambodia. In Vietnam, Xi called on China and Vietnam to oppose “unilateral bullying” and uphold global free trade. Trump, however, speaking to reporters in the Oval Office yesterday, alleged that China was focused on how to harm the US. “That’s a lovely meeting. Meeting like, trying to figure out, how do we screw the United States of America?” said Trump on the meeting between Xi and his Vietnamese counterpart To Lam.
