China Orders Airlines to Halt Boeing Deliveries Amid Escalating Trade Tensions

As trade tensions with the United States continue to escalate, Beijing has issued a directive requiring Chinese airlines to suspend all new deliveries of Boeing aircraft.

According to Bloomberg, citing sources reported by Reuters on April 15, the Chinese government has ordered domestic airlines to stop purchasing aircraft equipment and components from U.S. companies. This move is seen as a direct response to Washington’s recent decision to impose a sweeping 145% tariff on Chinese goods. In retaliation, China announced its own 125% tariff on U.S. imports over the weekend.

The new tariffs could significantly inflate the cost of manufacturing aviation parts and aircraft in the U.S., making Boeing deliveries increasingly unviable for Chinese carriers. The Chinese government is reportedly exploring financial support measures for airlines leasing Boeing aircraft, which now face a surge in operational costs.

Industry data from Aviation Flights Group shows that around 10 Boeing 737 aircraft are scheduled for delivery to Chinese airlines, including China Southern Airlines, Air China, and Xiamen Airlines. Some of these aircraft may still be imported if delivery and payment procedures were completed before the implementation of the retaliatory tariffs.

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Last week, Bloomberg also reported that Juneyao Airlines, based in Shanghai, had postponed the delivery of a Boeing 787-9 Dreamliner, despite plans to receive the aircraft within three weeks.

Over the past few years, China has intensified efforts to reduce reliance on Western aerospace giants Boeing and Airbus by investing heavily in its own aircraft manufacturer, Commercial Aircraft Corporation of China (COMAC). The company has been actively promoting its aircraft abroad, particularly in Southeast Asia and Saudi Arabia, while also advancing the development of wide-body aircraft.

COMAC’s narrow-body jet, the C919—designed to rival the Airbus A321 and Boeing 737—saw 12 units delivered last year to three domestic airlines. The company aims to ramp up annual production capacity to 150 aircraft by 2028.

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Source: Vietnam Insider