Second Boeing Jet first starts returning from China after 737 Max
A second Boeing Jet for a Chinese airline is returning to the US on Monday, according to flight tracking data, Reuters said. A Boeing 737 Max made an unexpected comeback in the US on Sunday, a Boeing 737 Max for Ziamen Airlines in China.
The jet was one of the 737 Max aircraft that was waiting at the Zohan Purnath Center in China for final work and distribution, the Guardian said. However, the trade war between the US and China began with the decision of US President Donald Trump to increase the tariff on Chinese imports, now the plan has been disrupted.
By this month, Trump has increased the tariff on Chinese goods by 145%, with China retaliated with its own 125% tariff on US-made products including aircraft. The allegation of these tariffs presents a significant problem for Chinese Airlines, as the market value of 737 Max, Boeing’s bestsailing model is approximately $ 55 million. Tariffs can make them financially disqualified to the Chinese Airlines to take delivery of these jets.Beijing is allegedly considering measures to support its airlines, especially to lease Boeing Jet to reduce rising costs.
Confusion around the changing tariff has left several aircraft delivery in Limbo, some airline authorities indicate that they may delay aircraft delivery rather than completing additional costs. According to reports, the situation is also having a widespread impact on the Boeing, with a adequate order backlog, including about 130 jets for Chinese customers. Analysts have warned that uncertainty on tariffs can not only disrupt Boeing’s distribution program, but also the entire aircraft manufacturing sector, which depends a lot on international sales.
At an American Senate hearing earlier this month, Boeing CEO Kelly Ortberg expressed concern about the possibility of some markets shutting down the company due to these tariffs. While which party decided to return Jet to the US, its details are unclear, it highlights the significant impact of the ongoing trade war on the aviation industry.
