Shares of Boeing (BA) climbed 3% in Thursday's pre-market session after Treasury Secretary Scott Bessent signaled that China could be placing some very large orders for the company's aircraft. The comments came as President Donald Trump met with Chinese President Xi Jinping in Beijing.
"I think we're going to see the large Boeing orders," Bessent told CNBC on Thursday.
Boeing did not immediately respond to a request for comment.
Bessent also revealed that U.S. and Chinese officials have discussed creating a "Board of Trade" to oversee bilateral trade and a separate "Board of Investment" for non-sensitive area investments. The new investment board will review Chinese plans to ensure they don't fall under the Committee on Foreign Investment in the United States (CFIUS), which Bessent chairs.
China Paused Boeing Orders Amid Tariff Row
The U.S.–China tariff dispute escalated sharply during Trump's first term, prompting Beijing to halt Boeing deliveries and restrict new aircraft orders over the subsequent years. Chinese airlines were ordered to seek approval for Boeing deliveries, deepening pressure on the U.S. aerospace giant. Chinese carriers shifted more toward Airbus SE (EADSY) during that period.
While the move was part of China's retaliation strategy, analysts had suggested that its domestic aircraft maker Comac might struggle to fill the gap due to limited production capacity.
Boeing Eyes Major China Deal
During Boeing's earnings call in April, CEO Kelly Ortberg expressed confidence that U.S.–China summit negotiations could lead to country-level agreements, including aircraft orders, noting that Chinese airline purchases depend on broader bilateral relations. "President Trump has been very focused on supporting us in international campaigns, and he's been very successful in doing that," Ortberg said.
Ortberg also joined President Trump's delegation of CEOs who arrived in Beijing on Wednesday evening.
While Ortberg did not provide an exact figure during the earnings call, he indicated that it was "a big number." According to a report in August, Boeing was in talks for a potential order of up to 500 aircraft from China. The deal, which is reportedly still under negotiation, depends on easing of U.S.–China trade tensions and discussions over aircraft types and delivery schedules. The last major Boeing order from China dates back to 2017.
On a year-to-date basis, Boeing stock climbed 5.63%. On Thursday, it rose 1.53% to close at $240.60.
