Boeing 737 MAX Sent Back to U.S. — Trade Tensions Hit New Heights

This weekend, a newly built Boeing 737 MAX jet meant for Xiamen Airlines was flown back to the U.S. after Chinese import tariffs made the $55M deal financially unfeasible.

Why it matters: This isn't just about one plane. The U.S. recently raised tariffs on Chinese goods to 145%. In retaliation, China imposed a 125% tariff on U.S. products—commercial aircraft included. The result? A $110M+ price tag for a jet that originally cost half that.

Boeing is now facing real uncertainty in one of its largest markets, potentially ceding ground to Airbus, which isn’t encumbered by the same political headwinds.

With trade wars intensifying and global aviation still recovering from pandemic-era disruptions, this story could mark the beginning of a deeper fracture in global aerospace supply chains.