The decision comes a day after the two countries announced a 90-day pause on tariffs and agreed to slash them by 115 percentage points
China has lifted its month-long ban on airlines accepting deliveries of Boeing aircraft, following a breakthrough in trade talks between the United States and China.
According to a Bloomberg report, Beijing has informed domestic carriers that they can now resume deliveries of US-made aircraft. However, airlines will have the discretion to organise the delivery on their own timing and terms.
The decision comes a day after the two countries announced a 90-day pause on tariffs and agreed to slash them by 115 percentage points. The move follows months of escalations between the two economic giants, who have been engaged in a retaliatory tariff war.
China had earlier imposed 125 per cent tariffs on US-made goods, prompting the US to retaliate with 145 per cent tariffs on Chinese goods.
China’s move to lift the ban on Boeing deliveries will provide an immediate boost to the US planemaker, though the relief could be short-lived if the two nations fail to resolve their tariff disputes during the 90-day pause.
The report also noted that while Beijing has granted discretion to airlines to arrange deliveries, it remains unclear how soon domestic carriers will be able to take possession of the aircraft they need.
Boeing caught in US-China trade war
Boeing was caught in the crossfire of the trade war after Beijing ordered domestic airlines to halt deliveries of its planes. Some jets were even flown back to the US after Chinese companies refused to accept them. The planemaker warned it would seek other buyers, including India’s Air India, which was reportedly in talks to acquire 10 of the rejected aircraft.
On April 2, US President Donald Trump announced reciprocal tariffs on more than 100 countries, including China, India, and Japan. China faced 34 per cent ‘discounted’ tariffs, in addition to the 20 per cent previously imposed. While several countries sought to negotiate with the US, China responded by imposing hefty tariffs on American goods.
US-China trade truce
On Monday, a trade truce was announced after officials from both nations met in Geneva. The two sides agreed to pause the tariff war for 90 days and slash the tariffs. The US reduced tariffs on Chinese goods to 30 per cent from 145 per cent, while China cut tariffs on US goods to 10 per cent from 125 per cent.
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