The US-China trade war has taken a sharp turn back to the skies. China has returned several Boeing jets it ordered from the United States, intensifying an already tense standoff over President Donald Trump’s aggressive tariffs on Chinese imports.
Boeing CEO Kelly Ortberg confirmed that two 737 MAX 8 aircraft intended for Chinese airlines have already been sent back, with a third set to follow.
In total, 50 planes were expected to be delivered to China in 2025—but Boeing says Chinese customers have now pulled out due to the rising tariff costs.
“The tariff environment has made it impossible for these deliveries to continue,” Ortberg said in an interview with CNBC. “They’ve essentially stopped taking our aircraft.”
The move comes after the US imposed a steep 145% tariff on Chinese goods. China retaliated with a 125% tax on American products, including aircraft. President Trump has since hinted that these tariffs could be lowered—but not eliminated—if trade talks progress.
Ortberg revealed that Boeing is now scrambling to reassign 41 completed jets to other airlines and may halt production on nine others not yet in the pipeline.
“We’re not going to keep building planes for customers who won’t take them,” he emphasized.
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Boeing, which sells about 70% of its aircraft internationally, has found itself at the center of the economic crossfire.
The company is in constant communication with top US officials, including daily talks with President Trump’s administration, in hopes of easing tensions.
Meanwhile, Treasury Secretary Scott Bessent told the IMF that the upcoming trade talks between the US and China could offer a “big deal” opportunity—if China is willing to reduce its reliance on manufacturing exports.
Boeing has shown signs of recovery in early 2025 after a tough previous year marked by labor strikes and supply chain issues.
It plans to ramp up production of its 737 MAX jets to 38 per month by year-end—but with orders from China now uncertain, the skies ahead remain unpredictable.
