US aerospace giant Boeing faces a significant challenge as Chinese airlines reportedly refuse to accept new deliveries of its jets, sparking concerns about the impact on the company’s finances and local economy.
According to Bloomberg, China has instructed its airlines to stop purchasing airline parts from American companies, including Boeing. This move could have substantial repercussions for Boeing, which is struggling to regain passenger trust following a series of safety issues with its 737 model.
The development comes as Boeing tries to recover from a costly strike and boost passenger confidence. However, the company’s reliance on China as a market has been severely impacted. Boeing generates significant revenue in Washington state, supporting 194,000 jobs with $19.4 billion in worker wages in 2023 alone. The exact number of affected plane orders is currently unknown, but efforts to get a response from Boeing are underway.
Source: https://komonews.com/news/local/china-halts-boeing-jet-deliveries-amid-trade-tensions-past-737-issues-and-strike-tariffs-washington-state-economy-no-parts-from-america