A Boeing 737 MAX airliner, intended for China’s Xiamen Airlines, has returned to the US production hub amid escalating tit-for-tat bilateral tariffs launched by Donald Trump, threatening to balloon the estimated price of a new aircraft by 125%.
Boeing 737 MAX Returns to Seattle Production Hub Amid Tariff Dispute
A Boeing 737 MAX airliner, intended for China’s Xiamen Airlines, arrived at Seattle‘s King County international airport on Sunday, its return to the US production hub a result of the escalating tit-for-tat bilateral tariffs launched by ‘Donald Trump‘.
The Boeing Company is an American multinational corporation that designs, manufactures, and sells airplanes, rotorcraft, satellites, missile defense, human space flight, and communications systems worldwide.
Founded in 1916 by William E. Boeing and Conrad Westervelt, the company has a rich history of innovation, with notable milestones including the development of the B-17 bomber during World War II and the introduction of the 707 commercial jet airliner in the 1950s.
The Impact of Tariffs on Aircraft Deliveries
The estimated price of a new Boeing 737 MAX is set to balloon by 125%, making it a significant financial burden for Chinese airlines. With a market value of around $55m, according to ‘IBA‘, an aviation consultancy, the tariffs could cripple aircraft deliveries.
The Refuelling Stops and Return Journey
The 737 MAX jet made refuelling stops in Guam and Hawaii on its 5,000-mile (8,000-km) return journey. It was painted with Xiamen livery, indicating it was intended for China’s Xiamen Airlines. The aircraft had been waiting at Boeing’s Zhoushan completion centre for final work and delivery.
The Tariff Dispute and Its Consequences
“Trump” this month raised baseline tariffs on Chinese imports to 145%. In retaliation, China imposed a 125% tariff on US goods. The confusion over changing tariffs could leave many aircraft deliveries in limbo, with some airline CEOs saying they would defer delivery of planes rather than pay duties, analysts say.
A Delicate Balance
The situation highlights the delicate balance between trade tensions and the global aviation industry‘s need for timely deliveries. As the tariff dispute continues to escalate, it remains to be seen how airlines will navigate this complex issue.
- theguardian.com | China sends back new Boeing jet made too expensive by tariffs
