Boeing Aircraft Scheduled for Delivery to China Returns to US Amid US-China Trade War

A Recent Case Demonstrating Disruptions in New Aircraft Deliveries
Some Airlines Say, "We'd Rather Delay Aircraft Acceptance Than Pay Tariffs"

As a result of the US-China tariff war, a Boeing aircraft that was scheduled for delivery to a Chinese airline has returned to the United States. Foreign media outlets reported that Boeing has become a casualty of retaliatory tariffs in the trade war ignited by US President Donald Trump.

According to Reuters and CNN on April 20 (local time), a Boeing 737 Max aircraft that was supposed to be delivered to Xiamen Airlines of China landed at Boeing's production facility in Seattle, Washington, on April 19.

Foreign media reported that this aircraft was one of the planes awaiting delivery at Boeing's completion center in Zhoushan, Zhejiang Province, China. It is unclear who made the decision to return the aircraft to the United States.

Reuters pointed out that this aircraft "fell victim to the reciprocal tariffs between the US and China resulting from the trade offensive initiated by President Donald Trump," and added, "This case demonstrates how the collapse of a decades-long tariff exemption status is now disrupting new aircraft deliveries."

President Trump has imposed a total tariff of 145% on imports from China. In response, China has also raised its tariffs on US goods to as much as 125% since April 12, intensifying the tariff war between the two countries.

Reuters also reported, "Analysts say that due to the tariff turmoil, many aircraft deliveries could be thrown into uncertainty, and some airlines are opting to delay taking delivery of aircraft rather than pay the tariffs."

Boeing, which had aimed to compete with European Airbus in the Chinese market, is also inevitably affected. Boeing is the largest US exporter by dollar value, and about 25% of the aircraft produced by Boeing in 2018 were exported to China. According to Boeing's cumulative delivery performance this year, 18 aircraft have been delivered to nine airlines in China. The three major Chinese airlines?Air China, China Eastern Airlines, and China Southern Airlines?had planned to receive 45, 53, and 81 Boeing aircraft, respectively, between 2025 and 2027.

Previously, Bloomberg reported that Chinese authorities had ordered domestic airlines to halt deliveries of Boeing aircraft as part of their retaliatory measures in the tariff war with the United States.

Lin Jian, chief spokesperson for the Chinese Ministry of Foreign Affairs, stated at a press conference on April 16 that China has never made an official announcement instructing domestic airlines to refuse deliveries of Boeing aircraft.