China Returns Boeing 737 Max Jets Amid U.S Trade War

China has returned brand-new Boeing 737 Max jets to the U.S., signaling rising tensions in the ongoing trade war between the two economic giants.

A 737 Max originally intended for Xiamen Airlines landed back in Seattle on Sunday, followed by a second aircraft on Monday. 

The move highlights how deeply tariffs and retaliatory policies are affecting global commerce, especially the aviation sector.

The 737 Max, Boeing’s bestselling aircraft, had been undergoing final delivery preparations at the company's center in China. 

With the aircraft's market value at around $55 million, the recent spike in tariffs, 145 percent on Chinese goods from the U.S. and 120 percent in retaliation by China, makes delivery financially burdensome for Chinese airlines. 

Reports suggest Beijing is now considering aid for local carriers leasing Boeing jets as they struggle with mounting costs.

Last week, the Chinese government reportedly asked domestic airlines to halt purchases of U.S.-made aircraft equipment, deepening concerns for Boeing. 

China accounts for nearly 20 percent of global aircraft demand over the next 20 years, making its role critical to Boeing’s future. 

While it’s unclear whether Boeing or Xiamen Airlines initiated the returns, neither party has issued a public statement.

These developments come just after Boeing’s CEO warned the U.S. Senate about the risks of market isolation. 

As Trump’s new “Liberation Day” tariffs were announced, confusion around pricing and delivery timelines left many airline deals in limbo. 

Some carriers are now deferring deliveries rather than paying inflated duties. Meanwhile, China has warned other nations not to side with the U.S., asserting that “appeasement will not bring peace,” and denouncing efforts to restrict its trade. 

The trade war shows no signs of cooling, and industries like aviation are feeling the pressure first.

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