Boeing Secures Boost from China ordering 50 737 MAX aircraft

Boeing Secures Boost from China Development Bank Financial Leasing

Amidst a downturn in Chinese orders and a factory worker strike, Boeing has received a boost with China Development Bank Financial Leasing (CDBFL) announcing an order for 50 Boeing 737 MAX 8 jets. This order marks a significant milestone for the planemaker, signifying a revival of interest in Boeing aircraft from Chinese customers.

Slowdown in Chinese Orders

Since the deterioration of Sino-U.S. trade relations in 2018 and the subsequent grounding of the 737 MAX following two fatal crashes, Boeing has faced a slowdown in aircraft purchases from China. The 50-jet order is the largest from a Chinese customer since China Southern Airlines placed a similar order in 2015.

Delivery Timeline and Fleet Expansion

CDB Aviation Lease, a subsidiary of CDBFL, will take delivery of the new Boeing 737 MAX 8 jets between 2028 and 2031. The leasing unit aims to enhance the proportion of next-generation aircraft in its fleet.

Boeing Strike and Production Halt

The MAX order comes amidst a labor strike at Boeing facilities, where over 30,000 factory workers have walked out demanding higher pay. The strike has resulted in the suspension of production for the 737 MAX, among other aircraft models. Boeing has announced that tens of thousands of workers will be temporarily furloughed due to the disruption.

Second Major Deal for CDBFL

The MAX order is the second major aircraft deal announced by CDBFL within the past week. The firm previously announced a purchase order for 80 Airbus A320neo airplanes, with entregas slated to commence in 2030.