Boeing is scrambling to find buyers for as many as 50 planes that have been sent back to the company by Chinese airlines following tariff hikes by the Trump administration.
In response to US President Donald Trump’s recent 145% tariff rates, China imposed its own 125% rate on US imports – effectively making trade between the two countries prohibitively expensive.
In an earnings call with investors, Kelly Ortberg, Boeing’s chief executive, said he hoped the tariffs would be resolved “over time”, but warned that as things stand “many of our customers in China have indicated they are not taking delivery”.
The firm is preparing to look for alternative buyers for the jets as it already has a long order book to fill, but China is one of its largest buyers.
“It’s an unfortunate situation, but we have many customers who want near-term deliveries,” Ortberg added. “We are not going to continue to build aeroplanes for customers who will not take them.”
The new tariffs are also impacting the firm in...