Trade war complicates a Boeing mega-deal worth $30 billion
Boeing has been negotiating one of the largest orders ever of Everett-built wide-body jetliners with Chinese airlines, even as tensions between Washington and Beijing escalate, say people familiar with the talks.
The discussions center on about 100 twin-aisle jets: 787 Dreamliners as well as 777X planes, the newest long-range aircraft in Boeing’s lineup, said one of the people, who asked not to be named because the talks are private. Negotiations have focused in particular on the 777-9 variant, the plane-maker’s costliest jet with a $442.2 million sticker price.
No deal is imminent, the people cautioned, and the trade war is a major complication for all involved. The Chinese side is waiting for guidance from the government before pushing forward with discussions, according to some of the people, as the tit-for-tat fight between the U.S. and China intensifies.
The potential order would be worth more than $30 billion before customary discounts, depending on the mix of aircraft.
The negotiations underscore the overlapping interests in aviation between the two nations. Boeing, under pressure over the worldwide grounding of the Renton-built 737 Max, is the largest U.S. exporter. The deal would help reduce the U.S. trade deficit with China.
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