Shares of Boeing fell nearly 9% to $137.60 on Friday, hitting an intraday low of $132.79 — levels not seen since October 2022 — as the aircraft manufacturer became one of the biggest casualties of the Trump tariff-fueled global sell-off.
The sharp decline followed China’s announcement of retaliatory 34% tariffs on all U.S. imports, effective April 10. This was in direct response to U.S. President Donald Trump’s decision to impose an additional 34% tariff on China, raising the total import duty on Chinese goods to 54%.
Boeing faces a double-edged challenge: not only does it source critical components from China and other global markets, but it also relies heavily on aircraft sales to Chinese airlines. The newly imposed tariffs are expected to dent both production costs and sales margins. Last year, Boeing highlighted that it spends $1.5 billion annually in China on parts and development, with over 10,000 planes using Chinese components.
Adding to investor anxiety are Boeing’s legal issues. The company is currently under scrutiny in a case involving safety violations and could face either a trial or a revised guilty plea in the coming weeks. Boeing CEO Kelly Ortberg recently told U.S. lawmakers that the company is working toward safety reforms.
The timing couldn’t be worse for Boeing, which just last August projected that China would need more than 8,800 new planes over the next 20 years, fueled by a 5.2% annual growth in air travel demand. Now, with soaring tariffs and geopolitical headwinds, Boeing’s dominant role in China’s aviation future looks uncertain.
Investors are expected to watch closely when Boeing reports its quarterly earnings on April 23 for clarity on the expected impact of the tariffs and operational challenges.
