Air India Eyes Undelivered Boeing Jets Rejected By Beijing Amid US-China Trade War
Air India plans to approach Boeing for jets that were being prepared for delivery to China but stalled due to the ongoing tariff war between the two economic giants, according to Bloomberg.
Air India is looking to capitalise on the escalating trade tensions between Washington and Beijing by acquiring Boeing aircraft originally built for Chinese carriers which have now been rejected, Bloomberg reported, citing people familiar with the matter.
According to Bloomberg, Air India plans to approach Boeing for jets that were being prepared for delivery to China but stalled due to the ongoing tariff war between the two economic giants.
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The report said Air India is also keen to take up slots for future deliveries if they become available. The move comes after the Chinese government reportedly directed its domestic airlines not to accept Boeing aircraft amid the worsening trade ties with the US. Bloomberg noted that about 10 planes were being readied at the time, and some 737 Max jets in China have since been returned to the US.
This isn’t the first time Air India has stepped in following China’s pullback. By March 2024, the airline had already received 41 Boeing 737 Max aircraft that were initially built for Chinese airlines but went undelivered due to the model’s global grounding in 2019.
Currently, Air India’s focus is on expanding the fleet of Air India Express, its budget subsidiary competing with market leader IndiGo. Bloomberg reported the airline is expected to receive nine more 737 Max planes by June, taking the total to 50.
While it was initially feared that the supply of such aircraft would be limited, continued trade tensions between the US and China have made more jets potentially available for reassignment.
Challenges in Acquiring the Aircraft
As per Bloomberg, some of the jets may already have custom cabin configurations specified by the original Chinese buyers, and partial payments may have been made. These factors could complicate any attempt by Boeing to offer the planes to other customers.
In addition, supply chain issues are delaying Air India’s internal plans to reconfigure some of its current jets — including a move to eliminate business class seating and switch to an all-economy layout by April 2026.
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