Boeing considers potential sale of up to 500 aircraft to China, according to a news report

The United States and China are reportedly in discussions for a significant purchase of aircraft by Chinese airlines from American aerospace giant Boeing. However, the deal remains contingent on the easing of trade tensions and tariffs between the two nations.

In April, China halted purchases of aircraft-related equipment and parts from U.S. companies, including Boeing, due to hefty levies imposed by President Donald Trump. However, purchases resumed in June following a deal to temporarily slash tariffs, allowing China to remove the ban on Boeing deliveries.

The details of the potential sale, such as what types and volume of jet models will be sold, and the delivery timetables, are still being worked out by Boeing. Aerospace giant Boeing secured major jet orders from China between 2017-2021, often tied to high-profile state visits during Trump's first term.

Another issue complicating matters is the fact that Boeing lost its top executive in China, Alvin Liu, in recent weeks. The new president of Boeing China is yet to be announced, with Carol Shen serving as interim president.

President Joe Biden and Xi Jinping pursued a similar agreement in 2023, but it ultimately fell through. Trump's meeting with Chinese officials, as per Treasury Secretary Steve Mnuchin, went well, and he looks forward to meeting with Xi before the end of the year.

Boeing CEO Dave Calhoun and Larry Culp, CEO of GE Aerospace, thanked President Trump for helping broker a $96 billion historic order from Qatar Airways. The potential deal between Boeing and China is said to be at the center of a trade agreement between President Donald Trump and China's President Xi Jinping.

Despite temporary pauses and extensions in tariff negotiations, a comprehensive trade deal between Trump and China remains elusive. The deal between the U.S. and China is crucial for the potential Boeing-China jet deal to move forward.

The resumption of Boeing jet orders by China marks a potential turning point in the strained relations between the two countries. However, the deal's success depends on the willingness of both nations to address trade tensions and tariffs.