April 21, 2025
Marketplace recorded a podcast interviewing Samuel Engel, Lecturer of Marketing, discussing how Boeing is being pulled deeper into the escalating U.S.-China trade conflict, marking a major shift for the aerospace industry.
The episode examines the breakdown of what was once a tariff-free sector. Chinese airlines have halted deliveries of Boeing jets in response to steep retaliatory tariffs—125% from China following the U.S.’s imposition of 145%. This standoff has led to the return of several Boeing 737 MAX 8 aircraft to the U.S., signaling a sharp disruption in global aviation trade.
“When the economy declines, airlines have less demand for their service and therefore are less inclined to place order for aircraft,” Engel adds.
As the aerospace industry adjusts to a new era of trade restrictions, the episode highlights how geopolitical tensions are forcing major manufacturers like Boeing to rethink supply chain strategies and navigate an increasingly complex international landscape.