Boeing suffers further MAX cancellations while EU imposes 15% tariff

Boeing has suffered further cancellations of its currently grounded 737 MAX jet. With October deliveries down to 13 compared to 20 in October a year ago, China Development Bank Financial Leasing Co has canceled orders for four of the jets, three have been canceled by Oman Air, one from Czech carrier Smartwings  and four from an undisclosed buyer.

While the Federal Aviation Administration (FAA) is due to certify the 737 MAX for airworthiness so the stricken jet can once again return to the skies, knock-on effects of the COVID-19 pandemic have crippled demand for not just Boeing jets, but also those of its rival, Airbus. However, in October Airbus managed to sell 11 jets and booked 72 jet deliveries, reducing the financial overhang of unwanted aircraft.

The EU has announced that it will be imposing a 15% tariff on all US aircraft as part of a US$4 billion total tariff level as part of a retaliatory measure against tariffs imposed by the U.S. on European goods, and the 15% tariff levied on European-manufactured aircraft imported into the U.S. back in February this year.

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