Boeing Stock Surges After Uzbekistan Dreamliner Order, China Deal Looms

Boeing's stock surged on Tuesday, climbing 2% to mark a 22.2% gain for the year, driven by a major jetliner order from Uzbekistan and growing anticipation of a blockbuster deal with China. The American aerospace giant announced that Uzbekistan Airways, the flag carrier of the Central Asian nation, committed to purchasing 14 of Boeing’s 787 Dreamliners, with options to acquire eight more, in a deal poised to bolster the airline’s international routes, including to the United States.

“This order is a game-changer for Uzbekistan Airways and supports nearly 35,000 American jobs,” a Boeing spokesperson said, highlighting the economic ripple effects of the agreement. The deal, reportedly valued at over $8 billion, underscores Boeing’s efforts to regain momentum in the global aviation market.

Adding to the excitement, U.S. Ambassador to China David Perdue hinted that a significant aircraft order from China could be finalized in the coming days or weeks. Speaking during a visit to China alongside U.S. lawmakers, Perdue emphasized the deal’s importance, stating, “This is a huge order, critical to both the president and Boeing.” While specifics remain under wraps, the potential agreement would mark Boeing’s first major sale to China in years, a market where its business sharply declined after the 2019 grounding of the 737 Max following two tragic crashes that claimed 346 lives.

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The prospect of a China deal has sparked optimism among investors, as it could signal a turning point for Boeing, which has faced a turbulent 2024. The company grappled with a high-profile incident in January when a door plug component blew off a 737 Max mid-flight over Portland, Oregon, raising safety concerns. Additionally, a nearly eight-week machinists’ strike in Washington state halted production of the 737 Max and other aircraft, further straining Boeing’s finances. Federal prosecutors also revived a criminal fraud charge against the company in July, tied to the 2018 and 2019 crashes, adding to its public relations challenges.

Despite these setbacks, Boeing is poised for a comeback, with the Trump administration prioritizing the company as part of its broader push to revitalize U.S. manufacturing. President Donald Trump, in a Monday evening Truth Social post, celebrated the Uzbekistan deal but inaccurately claimed it involved 22,787 planes, a figure Boeing declined to address, deferring questions to the White House. The White House has not responded to requests for clarification.

In Beijing, U.S. Rep. Adam Smith, the top Democrat on the House Armed Services Committee, expressed enthusiasm for the potential China deal, noting, “It’s been years since Boeing secured a major sale here. We’re eager to see this finalized.” A successful deal could help Boeing rebuild trust in China, where 737 Max flights only resumed in January 2023, well after other global carriers.

Boeing’s leadership remains tight-lipped about the China negotiations, but the company is clearly focused on restoring its global standing. With President Trump planning to meet Chinese leader Xi Jinping at a regional summit in South Korea at the end of October, and a potential visit to China early next year, the stakes are high for Boeing to secure this landmark deal and solidify its recovery trajectory.

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