Boeing announces record Chinese order worth Dollars 38 bn

Xi visited Boeing’s Paine Field assembly plant during the Seattle leg of his trip before moving on to Washington, D.C., to meet President Barack Obama.

The massive order, which was not immediately confirmed by Boeing, demonstrates the vital importance of the Chinese market despite a growth slowdown that threatens to slow the expansion of air travel. The total value of the deal has been calculated at $38 billion.

Representatives of manufacturer COMAC could not be immediately reached on Wednesday.

“The emerging middle class in China is helping to boost demand”, Mohshin Aziz, an analyst at Malayan Banking Bhd., told Bloomberg News. Boeing said on Tuesday it doesn’t expect to lay off or reduce staff related to the 737 because of the new factory in China.

The planes included some that had already been ordered but the buyer had not been identified.

Republican presidential front-runner Donald Trump bashed Boeing Co. over the plans to open the new facility in China saying in a speech in South Carolina that it “will end up taking a tremendous number of jobs away from the United States”.

Boeing has announced plans to open an assembly plant in China while also confirming the sale of 300 aircraft to the country worth $38bn at current list prices.

Boeing may be firing another warning shot across the bow of the U.S. Congress, which has failed to renew the charter of the U.S. Export-Import Bank and shows little sign of revisiting that decision.

Boeing said Tuesday it is negotiating to put a 737 finishing factory in China, to gain airplane orders.

Through the new order, Boeing will be able to compete with its biggest rival Airbus Group (OTCMKTS:EADSY), which now has the lead in booking most commercial aircraft orders.

Muilenburg said Boeing has had operations in China for 42 years and is continuing to invest to expand its capabilities there.