Boeing faces aircraft delivery challenges as China rejects orders over tariffs

Boeing has confirmed that Chinese airlines are refusing to accept delivery of new aircraft due to increased tariffs imposed amid escalating trade tensions between the US and China. CEO Kelly Ortberg stated that many Chinese customers have stopped taking delivery, prompting Boeing to return several jets to the US and consider redirecting these planes to other global buyers, given the strong demand for new aircraft elsewhere. The tariffs have significantly raised the cost of US-made jets for Chinese buyers, disrupting orders that were previously duty-free under a 1979 international agreement. Reports suggest Beijing may have instructed airlines to halt purchases from US manufacturers, though there has been no official confirmation from Chinese authorities. Despite the setback, Boeing maintains that it can adapt by finding alternative customers and does not anticipate long-term harm to its financial recovery. The dispute comes at a challenging time for Boeing, which is still recovering from earlier restrictions on its 737 MAX exports to China following safety concerns.