China returns Boeing planes to US over tariffs

China has returned planes it ordered from the US - in its latest retaliation against Trump's tariffs, the chief executive of aircraft manufacturer Boeing, Kelly Ortberg, said, according to the BBC.

Ortberg said two planes had already returned and another would follow following the escalation of trade tensions between the two countries.

Boeing's chief executive said another 50 planes would go to China this year, but their customers had said they would not deliver them.

The US imposed 145% tariffs on imports from China and retaliated with a 125% tax on American products.

Speaking in the Oval Office, Trump said he was optimistic about improving trade relations with China, saying the level of tariffs he had imposed would be "substantially reduced, but it would not be zero."

However, Ortberg said that China had actually stopped delivering the aircraft due to the tariff environment.

Boeing is America's largest exporter with about 70% of its commercial aircraft sales outside the US.

Ortberg said Boeing was evaluating options to resell 41 already built planes to other customers as there was high demand from other airlines.

"There are nine aircraft that are not yet in Boeing's production system. We want to understand their intentions and if necessary, we can assign them to other customers," he said.

He added that Boeing will not continue to build planes for customers who will not take them.

Brian West, Boeing's chief financial officer, said that free trade policy is very important and that Boeing would continue to work with suppliers to ensure continuity.

Boeing reported a small loss in the first quarter of the year as it produced and delivered more planes.

Production fell in 2024 due to a series of crises and a strike by about 30,000 US factory workers. It seeks to increase production of its 737 MAX jets to 38 per month by 2025.

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