Boeing resumes China deliveries with 787-9 jet to Juneyao Airlines, Yicai reports
BEIJING/HONG KONG, June 14 (Reuters) - Boeing (BA.N), opens new tab delivered a new 787-9 aircraft to China's Juneyao Airlines (603885.SS), opens new tab on Saturday, Chinese media outlet Yicai reported, as trade tensions between Beijing and Washington ease.
The delivery comes two days after a Boeing 787-8 Dreamliner with 242 people on board crashed in a fireball shortly after takeoff in western India.
Boeing and Juneyao Airlines did not immediately reply to Reuters requests for comment on the Yicai report.
The U.S. aerospace giant had suspended new aircraft deliveries to China in April as President Donald Trump's tariff war escalated between the world's two largest economies.
Boeing said at the end of May that deliveries would resume this month after the tariffs were temporarily scaled back for 90 days.
China and the U.S. concluded two days of negotiations in London on Tuesday to resolve key trade issues in the two superpowers' bruising tariff war, where negotiators from Washington and Beijing agreed on a framework covering tariff rates.
On Monday, a new Boeing 737 MAX painted in the livery of Xiamen Airlines landed in China, adding to signs that the planemaker was resuming deliveries to China. The country represents about 10% of Boeing's commercial backlog and is an important and growing aviation market.
Boeing had previously said customers in China would not take delivery of new planes due to the tariffs and that it was looking to resell potentially dozens of aircraft.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The Independent
an hour ago
- The Independent
Watch: Air India CEO says airline ordered to complete Boeing 787 safety checks by regulator
Watch as the CEO of Air India says the airline is 'completing precautionary safety checks on Boeing 787 aircraft as directed by our regulator, the DGCA.' (14 June) Campbell Wilson also announced that Air India is in the process of 'reuniting next of kin with their loved ones and personal effects.' All passengers but one on the flight to the UK died — 241 out of 242 — when it crashed in a huge fireball moments after takeoff in India's western city of Ahmedabad.
Daily Mail
an hour ago
- Daily Mail
Panic in Trump heartland as tariffs choke investment
President Donald Trump's tariff policies are posing a threat to the revival of US manufacturing. A push for a 'Made in America' renaissance has been a key priority for the White House, with particular focus on the American Rust Belt. But companies are warning how turmoil and confusion around Trump's trade wars is slowing the progress made in reinvigorating American factories. The latest jobs report revealed that manufacturing jobs declined by 8,000 last month - the most this year so far. Anxiety is high in the Midwest, which remains home to the largest concentration of US manufacturing jobs — despite losing tens of thousands of workers to offshoring in the early 2000s. 'Overall, it is going to be a drag on the US economy,' Gus Faucher, chief economist for PNC Financial Services Group in Pittsburgh, told Bloomberg. 'In particular, it's going to be a drag on the Midwestern economy.' US factory activity also contracted in May for the third month in a row. The Midwestern states of Illinois, Indiana, Iowa, Kansas, Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio, South Dakota and Wisconsin lost almost 2 million manufacturing jobs between 1998 and 2010, Bloomberg reported. This was due to companies looking to cheaper production and labor outside the US - in China in particular. In recent years, a cautious optimism had returned, as supply chain shocks from the pandemic pushed some companies to bring production back to the US. But frequent changes and uncertainty around where Trump's tariff policy is headed has 'got people spooked,' Andrew Anagnost, CEO of Autodesk, told the outlet. The company sells software used by manufacturers to design factories and improve processes. 'The current operating mode is just the death to long-term investment,' he said. While construction projects that were already underway are still going ahead, he added, confusion about the future is stalling new work. Some states are harder hit than others by tariff plans. Illinois, for example, will see a 16 percent increase in effective tariff rate on manufacturing inputs, according to the National Association of Manufacturers. This means that the total cost of importing goods used in production increases, which could lead to reduced profits, supply chain shocks or higher prices for consumers. Minnesota will also see a 16 percent increase, while Missouri is facing a 15 percent hike. The sense of uneasiness is particularly strong in the automotive industry, which is facing 50 percent tariffs on steel imports, a measure Trump announced at an appearance at Irvin Works, a steel plant outside the Pittsburgh city limits in West Mifflin, last month. Kenosha, Wisconsin-based company Snap-on provides tools used by car mechanics. Its CEO told Bloomberg that while the company can manage the impact of tariffs as it mostly serves US customers with domestically-made products, auto shop workers are 'confidence poor.' Nicholas Pinchuk said customers are worried about economic disruption even if they are fans of the President. 'They're still big Trump fans. This is Trump territory. They believe in where we're going, but they're worried that something's going to happen,' he said. Even companies that stand to benefit from tariffs are expressing anxiety about what the future might hold. Ross Widmoyer, CEO of textile manufacturing company Faribuault Mill, told the outlet he has been getting calls from retailers looking for a producer in the US. But he is still concerned that the trade wars could impact economic growth. 'If there's a slowdown in consumer spending, it doesn't matter if you're making products domestically or overseas, and that's not good for anybody,' Widmoyer, who is also chairman of the Minnesota Manufacturers' Council, said. The Trump administration has pointed to announcements from major companies of planned investment in the US as proof the policies are working. For example, Volkswagen's CEO confirmed last month that the company is looking to make a 'massive' US investment. Oliver Blume, VW's top boss, said he has been in contact with members of the Trump administration, including US Commerce Secretary Howard Lutnick. His strategy to shield VW from steep tariff costs appears two-fold: maintain open communication with US officials and continue ramping up investment in American businesses.
Daily Mail
2 hours ago
- Daily Mail
Ford CEO says rare earths shortage forced it to shut factory
China 's trade leverage temporarily shuttered one of Detroit's biggest brands. Ford's CEO, Jim Farley, said his company doesn't have enough rare-earth magnets, forcing the automaker to halt some production lines. 'It's day to day,' the top boss said in a Friday interview with Bloomberg News. 'We have had to shut down factories. It's hand-to-mouth right now.' Ford's production struggles are part of the ongoing tit-for-tat trade escalation between Washington and Beijing . But the company is expecting relief in the coming weeks. In April, Chinese officials stopped the flow of magnets into the US — a critical component found in nearly every modern car's brake pads, seats, windshield wipers, and batteries. The pause came in response to President Donald Trump 's then-145 percent tariffs on all Chinese imports. The throttled magnet trade threatened to strangle production plants and empty car dealership lots, sending automakers and industry groups into a tizzy. In May, the Alliance for Automotive Innovation — which represents major US automakers — sent a letter to President Trump warning that China's response could paralyze car production. Later that month, workers at Ford's Chicago plant, where the company builds the popular Explorer SUV, were told to go home due to the magnet shortage. But as Ford continues to scramble for parts, the company is now expecting a reopening of the supply spigot. American and Chinese trade negotiators have announced a tentative agreement that lowers tariff rates and resumes magnet exports. The deal includes temporary export licenses for rare-earth suppliers . Those licenses will allow magnet shipments to resume to the top three US automakers — including Ford — as soon as this month. China's President Xi Jinping has not officially signed the deal, but President Trump posted on Truth Social that the agreement was 'done.' Industry analysts confirmed to that rare-earth magnets will likely be exempt from American tariffs under the new deal. Still, as the pipeline starts back up, Farley's announcement underscores China's current leverage over American manufacturing. The US once refined its own rare-earth magnets for vehicle assembly, with facilities operating across dozens of Midwestern states. But 20 years ago, the last domestic refinement plant — located in Indiana — shut down. China, which now controls more than 90 percent of global rare-earth processing capacity, filled the gap. American automakers are now looking elsewhere for supply, including Australia, Canada, and Saudi Arabia. 'Should the US-China trade deal be upheld by both sides, US automakers should be able to secure enough rare earths to continue their production as scheduled,' Seth Goldstein, a vehicle analyst at Morningstar, told 'I would guess all US automakers are looking to secure alternate rare earths supply outside of China as a way to protect themselves from the potential that China may halt exports again in the future.' A representative for Ford didn't immediately respond to request for comment.
