During a visit to Qatar on Wednesday, US President Donald Trump announced a major aviation deal with the Gulf Arab nation, highlighting a $200 billion agreement for 160 Boeing jets to be delivered to Qatar Airways.
The deal was formalized in a signing ceremony attended by both Trump and Qatar’s Emir, Sheikh Tamim bin Hamad Al-Thani.
“So it’s over $200 billion but 160 in terms of the Jets, that’s fantastic,” Trump said. “So that’s a record, Kelly, then congratulations to Boeing,” he added, directing his remarks to Boeing CEO Kelly Ortberg, who was present at the event.
The announcement comes at a crucial time for Boeing.
The American aerospace giant has faced significant challenges over the past year, including a sharp decline in orders after a door plug on an Alaska Airlines 737 Max blew off mid-flight in early 2024, leaving a hole in the fuselage.
Although orders began to recover by late 2024, Boeing ended the year with just 569 gross orders—down 60% from 2023.
The company was further impacted by a massive strike in September, when approximately 33,000 machinists walked off the job.
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Boeing didn’t resume production until early December, and the strike contributed to a 34% drop in deliveries, totaling only 348 aircraft for the year.
Trump’s recent imposition of “Liberation Day” tariffs has also raised concerns for Boeing. As the top U.S. exporter, the company now faces increased costs due to its global supply chain and the risk of retaliatory tariffs from other nations.
These factors could drive up the price of Boeing jets and potentially reduce international demand.
Analysts believe that the Trump administration is actively pursuing Boeing order commitments as leverage in broader trade negotiations.
Just last week, Commerce Secretary Howard Lutnick revealed in the Oval Office that a British airline had agreed to purchase $10 billion worth of Boeing jets as part of a larger trade framework.
Reuters later confirmed the airline as IAG, which reportedly plans to acquire approximately 30 of Boeing’s 787 widebody aircraft.
Despite ongoing challenges, Boeing’s stock rose 1.7% on Wednesday following the announcement. Still, investors remain cautious, knowing that order commitments are not always final and can be canceled by airlines even after public declarations.
In addition to the aviation agreement, several defense-related deals were also signed in Qatar. US Defense Secretary Pete Hegseth signed a statement of intent for defense cooperation between the United States and Qatar.
He also signed offer and acceptance letters for MQ-9B unmanned aircraft and FS-LIDS systems.
President Trump capped off the event by signing a joint declaration of cooperation between the two nations, signaling continued partnership and strategic alignment.
(CNN)
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