China Targets Boeing In Trade War, Orders No Jet Deliveries: Bloomberg

China ordered its airlines to stop taking Boeing Co. jet deliveries amid the escalating trade war with the U.S., Bloomberg reported Tuesday, citing people familiar with the situation.

Chinese carriers have also been asked to stop purchases of aircraft equipment and parts from American companies, according to Bloomberg, as U.S. tariffs on Chinese goods are now as high as 145 percent, with China raising tariffs to 125 percent on U.S. goods.

“China’s halt of Boeing deliveries isn’t unexpected amid its trade war with the US and should be manageable given the country’s orders are only a small portion of the backlog,” Bloomberg Intelligence analysts George Ferguson and Melissa Balzano said, according to Bloomberg. “However, if Boeing can’t sell those planes to other airlines (Indian carriers have shown strong interest) it reduces its efforts to pare inventory and improve efficiency.”

Boeing has distribution locations in Long Beach and Van Nuys.

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