Core 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].

Group 1 - The trade war initiated by Trump is causing significant economic pressure on American companies, particularly Boeing, which has already faced the return of a Boeing 737 Max aircraft by a Chinese airline, indicating potential further losses in the Chinese market [1][3] - The market price of a new Boeing 737 Max is approximately $55 million, and the more aircraft returned, the greater the economic strain on Boeing, which is already struggling due to previous safety incidents and strikes [1][3] - Boeing is not only a commercial aircraft manufacturer but also a key player in the U.S. military-industrial complex, with its involvement in the design and production of the so-called "sixth-generation fighter" announced by Trump [3] Group 2 - The U.S. stock market is experiencing significant declines, attributed to Trump's pressure on the Federal Reserve to lower interest rates, which has raised concerns about the future direction of the Fed [3][5] - Trump's unconventional approach, including the potential replacement of the Federal Reserve Chairman Jerome Powell, is seen as a drastic measure that could further destabilize the economy amid the ongoing trade conflict with China [5][7] - Powell has publicly stated his commitment to not resign and his reluctance to lower interest rates, indicating a potential clash between the Federal Reserve's independence and Trump's economic strategies [7]