Goodwill Gesture Before Trade Talks? China Airlines Places Order For 14 Boeing 777 Jets
https://www.zerohedge.com/geopolitical/goodwill-gesture-trade-talks-china-airlines-places-order-14-boeing-777-jets
Just two days before U.S. Treasury Secretary Scott Bessent is set to meet his Chinese counterpart for the first round of trade talks in Switzerland, Boeing revealed a new order for widebody jets from a Chinese state-owned airline—presumably a calculated gesture of goodwill ahead of negotiations.
Boeing announced that China Airlines has become the "newest 777X customer with an order for 10 777-9 passenger and four 777-8 Freighter airplanes."
"In addition to the firm order, which was booked in March 2025 and was posted as unidentified on Boeing's orders and deliveries website, the airline has options to purchase five 777-9s and four 777-8 Freighters," the plane manufacturer said, adding, "With this order, China Airlines joins an exclusive group of global airlines that have ordered the passenger and freighter variants of the 777X family."
About one month ago, when the U.S. and China unleashed a tit-for-tat tariff war, eventually placing 145% levies on Chinese goods entering the U.S. and a 125% rate on U.S. goods entering China, Juneyao Airlines delayed the delivery of a widebody aircraft from Boeing. This delay was suspected to be part of Beijing's non-tariff countermeasures (including limiting Hollywood film imports, etc…).
Boeing's order announcement comes days before Bessent, who has become the point person in trade negotiations, will sit down with top Chinese trade negotiators in Switzerland to begin the first round of a fair trade.
"The negotiations will begin on Saturday," Bessent said in testimony before the House Financial Services Committee on Wednesday.
During a Fox News interview, Bessent emphasized: "We don't want to decouple" with China, adding, "What we want is fair trade."
The key takeaway: China Airlines' order of Boeing 777Xs looks like a kind gesture of goodwill ahead of this weekend's trade talks. Though the order was officially booked in March, Beijing could have easily delayed or canceled it if preliminary trade talks (at U.S. Treasury) were headed in the wrong direction. Instead, the timing suggests momentum may be building toward a breakthrough.
Goldman chief economist Jan Hatzius recently outlined what a potential breakthrough in U.S.-China trade talks might entail.
All good news so far…