Boeing CEO says China has stopped taking its airplane amid business battle

Boeing may just give up a few of its airplane that have been destined for Chinese airways to different carriers after China stopped taking deliveries of its planes amid a business battle with the United States.

“They have in fact stopped taking delivery of aircraft due to the tariff environment,” Boeing CEO Kelly Ortberg informed CNBC’s “Squawk on the Street” on Wednesday.

Ortberg mentioned that a couple of 737 Max planes that have been in China set to be brought to carriers there were flown again to the U.S.

He mentioned some jets that have been supposed for Chinese shoppers, in addition to airplane the corporate was once making plans to construct for China later this 12 months, may just move to different shoppers.

“There’s plenty of customers out there looking for the Max aircraft,” Ortberg mentioned. “We’re not going to wait too long. I’m not going to let this derail the recovery of our company.”

The CEO’s feedback got here after Boeing reported a narrower-than-expected loss for the primary quarter and money burn that got here in higher than analysts feared as aircraft deliveries surged within the 3 months ended March 31.

President Donald Trump previous this month issued sweeping price lists on imports to the U.S. While he paused one of the vital perfect charges, the business battle with China has most effective ramped up.

Trump mentioned Tuesday that he is open to taking a much less confrontational strategy to business talks with China, calling the present 145% tariff on Chinese imports “very high.”

“It won’t be that high. … No, it won’t be anywhere near that high. It’ll come down substantially. But it won’t be zero,” Trump mentioned.

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