Boeing: "US-China Conflict Threatens Global Influence"

[Asia Economy Reporter Yujin Cho] Dave Calhoun, CEO of Boeing, expressed concern that the trade conflict between the United States and China is threatening Boeing and the global influence of the U.S. aviation industry.

At the Bernstein virtual conference on the 4th (local time), CEO Calhoun stated that the U.S.-China trade conflict is adversely affecting the resumption of operations of the Boeing 737 model in China.

He said that as the COVID-19 situation eases, China is emerging as the hottest aviation market in the world, but due to the Chinese authorities' suspension of 737 Max operations, Boeing is unable to benefit from this trend.

He expressed hope that "if the suspension is lifted, about one-quarter of Boeing's aircraft sales over the next 10 years could take place in the Chinese market."

He added, "It is unclear when the thaw will begin," and warned, "If China's suspension of 737 Max operations continues for too long, Boeing will have to pay the price."

The Boeing 737 Max, which was involved in two fatal crashes, was grounded worldwide starting with China in 2019.

Since the U.S. Federal Aviation Administration (FAA) approved the resumption of operations last November, flights have resumed across all European markets, but Chinese authorities continue to maintain the suspension.

Experts generally predict that Chinese authorities will not approve the resumption of Boeing 737 Max operations in the near future.