Boeing(US:BA) Sou Hu Cai Jing·2025-05-01 14:50Core Viewpoint - China has requested domestic airlines to stop accepting Boeing aircraft and suspend purchases of related equipment and parts as a countermeasure against U.S. tariffs, significantly impacting Boeing's market position in China [1][3]. Group 1: Impact on Boeing - Boeing's stock has dropped over 10% since the beginning of the year, with a 2.4% decline following the news of China's actions [1]. - The cost of U.S.-made aircraft and parts is expected to double due to tariffs, making them uncompetitive in the Chinese market [1]. - The price of a Boeing 737 Max, originally $120 million, could rise to $270 million after tariffs, far exceeding the cost of Airbus A320 series aircraft [1]. Group 2: Market Dynamics - In 2018, China accounted for 25% of Boeing's global deliveries, but this figure is now approaching zero due to the new tariffs [1]. - Chinese airlines have historically been significant customers for Boeing, with a total of approximately 616 Boeing aircraft in operation by major Chinese airlines as of the end of 2023 [3]. Group 3: Strategic Responses - Boeing's CEO has indicated that the company may not continue manufacturing aircraft for Chinese airlines if they return the planes, highlighting the strained relationship [3]. - Analysts suggest that the refusal to accept Boeing aircraft is a reasonable response to the high tariffs imposed by the U.S., which have made purchasing Boeing planes financially unfeasible for Chinese airlines [5]. Group 4: Broader Implications - The ongoing tariff war is seen as a significant factor in the decline of Boeing's market share in China, with potential long-term consequences for the company's revenue [5][7]. - Some analysts underestimate the impact of Boeing's potential supply halt on China, failing to recognize that China has already been reducing its Boeing aircraft purchases [7].