China Making Progress on Finalizing 200-Jet Boeing Order, U.S. Official Says

China is making tangible progress on its commitment to purchase 200 Boeing (BA) jets, a deal first announced in May, U.S. Trade Representative Jamieson Greer said on Monday. The update provides the first concrete details on the status of what was Boeing's first major aircraft sale to China in nearly a decade.

Details of the Progress

Speaking in an interview with Fox News, Greer specified that a significant portion of the order is moving toward completion. According to a Reuters report of the interview, the status of the deal includes:

• Approximately 140 jets that are described as being "in a good state."
• An additional 10 jets for which Chinese carriers are currently "writing down the orders."

Greer did not provide any indication that new or additional Chinese orders for Boeing aircraft were imminent ahead of President Donald Trump’s meeting with Chinese President Xi Jinping this week.

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Context and Expectations

The May commitment was a landmark agreement for the U.S. aerospace manufacturer. At the time, President Trump had suggested that China could potentially increase its total order to as many as 750 planes.

However, Boeing CEO Kelly Ortberg recently tempered expectations among some industry analysts for another major order announcement to coincide with the presidential talks. Speaking at an investor conference last week, Ortberg said he expects an "increment of orders going forward," but noted that Chinese airlines would announce them "at their pace."

Ortberg had previously described the 200-airplane order commitment in May as an "initial tranche" of a potentially much larger deal, leaving the door open for future purchases.