Boeing CEO Kelly Ortberg is expected to accompany President Donald Trump on his upcoming trip to China, where Trump is scheduled to meet Chinese President Xi Jinping on May 14 and 15. A source informed about Ortberg's participation, which comes as speculation builds around a potential significant order from China for Boeing aircraft, a development that could revive Boeing's sales in the Chinese market after a prolonged period of limited activity.
During a recent earnings call, Ortberg noted that any new business with China would be contingent upon the state of U.S.-China relations, particularly the outcomes of the upcoming summit. Despite Boeing's resumption of some aircraft deliveries to China following a hiatus linked to the 737 Max crashes in 2018 and 2019, it has been nearly a decade since a major order was placed by Chinese airlines. In contrast, these airlines have turned to Boeing's rival, Airbus, for substantial purchases, including a recent agreement by China Southern Airlines to acquire 137 Airbus A320 aircraft valued at approximately $21.4 billion.
Reports suggest that an order for up to 500 Boeing 737 Max jets was nearing finalization prior to the trip, initially slated for late March and early April but postponed due to geopolitical tensions related to the Iran conflict. The outcome of the Trump-Xi meeting could significantly influence the prospects for Boeing, which is currently focused on increasing production of its narrow-body Max and wide-body 787 Dreamliner jets. The potential for a large order from China represents a crucial opportunity for Boeing as it seeks to stabilize and expand its operations in a challenging market environment.