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Home » Boeing Says U.S.-China Trade Spat Is a Concern for Aerospace World

Boeing Says U.S.-China Trade Spat Is a Concern for Aerospace World

Boeing Co. CEO Dennis Muilenburg said he’s concerned about the possible fallout from the U.S.-Chinese trade dispute that’s gathering momentum because his industry relies on the free flow of goods.

July 18, 2018
IndustryWeek

Speaking at the Farnborough air show south of London, Muilenburg said finding a solution to the dispute is “an important topic to us.” Aerospace is the biggest trade-surplus generator in the U.S. and provides key manufacturing jobs, while China relies on foreign aircraft to help fuel economic growth, Muilenburg said.

“We are concerned about some of the discussions right now around trade,” the CEO said in an interview with Bloomberg Television. “Our aerospace business thrives on free and open global trade and we’re hopeful we’re going to find solutions as alternatives to some of the tariff discussions that have been going on.”

Airbus and Boeing are locked in a global duopoly for most of their aircraft, so any imbalance stands to hand the other side an advantage. While Airbus benefiting from the current trade spat is “a concern we have,” Muilenburg dismissed the notion of any sudden shifts in order or backlog patterns because the industry is long-term and Boeing has an established presence in China.

Besides its relationships with China, Boeing can also rely on its proximity to the U.S. government. The company has “a seat at the table” as it tries to contribute to a solution to the trade dispute, Muilenburg said. “Our voice is being heard.”

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KEYWORDS Aerospace & Defense China Global Supply Chain Management Global Trade & Economics North America SC Security & Risk Mgmt
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