According to people familiar with the matter, China’s June airlines are postponing delivery of Boeing’s wide-body aircraft, highlighting how the trade war between Washington and Beijing can raise prices for large commodities.
Juneyao will send 787-9 Dreamliner from Planemaker in the United States in about three weeks, worth about $120 million, but will now be postponed due to President Donald Trump’s tariffs on China, demanding reluctance to discuss private information.
Juneyao did not immediately respond to a request for comment. Boeing declined to comment.
Boeing shares fell in New York after Bloomberg News reported delivery delays. The stock fell as much as 2.3%, reversing early earnings.
Chinese airlines have joined more and more companies, suspending the dispute over commodity exchange due to fines imposed. Tesla Inc. has stopped ordering Model S sedans and X Model X Sport Utility vehicles in China, both imported from the United States.
Boeing warned that escalating trade disputes since the pandemic could also damage supply chains with severe tightness and that it has not shown signs of returning to normal until now.
China announced on Friday that it would raise tariffs on all U.S. goods to 125% from April 12, after Trump aimed to boycott the U.S. trade deficit and punish Beijing in retaliation for U.S. import taxes. In addition to the 20% tax on China’s role in fentanyl trafficking earlier this year, this means the U.S. tariff rate on China is now 145%.
For Shanghai-based Juneyao, delays may delay its international expansion. The airline plans to increase flights to Europe starting in the summer, including Brussels and Athens. These other routes depend on the delivery of long-range Boeing aircraft.
Juneyao has a fleet of more than 100 aircraft, mainly Airbus SE single-lane jets and 9 Boeing 787s.
This article was generated from the Automation News Agency feed without the text being modified.
