Trump says Boeing ‘should default China’ for not taking planes

Boeing 737 MAX airliners are pictured at the company's factory on Sept. 12, 2024, in Renton, Washington. (AP Photo/File)
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Updated 25 April 2025
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Trump says Boeing ‘should default China’ for not taking planes

  • Chinese customers started rejecting Beoing jet deliveries amid a trade war sparked by Trump
  • Boeing poised to resell rejected jets, with Air India in talks with the planemaker to take 10 Max 737s

WASHINGTON: US President Donald Trump on Thursday criticized China for backing out of a deal to buy new Boeing planes due to tariffs imposed in the rivals’ trade war.
“Boeing should default China for not taking the beautifully finished planes that China committed to purchase,” Trump wrote on social media, without giving more details.
“This is just a small example of what China has done to the USA, for years,” he added.
US aviation giant Boeing’s CEO Kelly Ortberg said Wednesday confirmed that Chinese customers had stopped taking delivery of aircraft due to the “tariff environment.”
His remarks signaled growing disruption caused by tit-for-tat levies exchanged between the world’s largest economies this month.

New US tariffs have reached 145 percent on many Chinese products, while Beijing has responded with fresh 125 percent duties on imports from the United States.
The tariff blitz — which Trump says is retaliation for unfair trade practices, as well as a bid to restore US manufacturing prowess — has rattled markets and raised fears of a global recession.
Beijing on Thursday threw cold water on Trump’s apparent optimism about a US-China deal to lower tariffs, saying that suggestions of ongoing talks were “groundless.”
Trump told reporters on Wednesday that his country would have a “fair deal with China,” adding when asked if Washington was talking to Beijing that “everything’s active.”

Industry sources said the comments were seen as a signal to Beijing and Washington that the tariff conflict between the world’s two largest economies risked damage as Chinese airlines scramble for capacity and Boeing is left with a new stockpile.
Washington had previously signalled openness to de-escalating the trade war, stating earlier this week that high tariffs between the US and China were not sustainable.
Boeing is one of the largest US exporters and historically sent a quarter of its planes to China, though the share of Chinese airlines in its order backlog now stands at 10 percent after European rival Airbus increased market share.
Airbus has been in on-off negotiations for at least a year to try to grab a huge order of up to 500 jets, though China usually treads carefully over all major purchase decisions at times of geopolitical uncertainty, industry sources said.
Airbus said it never comments on commercial discussions that may or may not be happening.
Potential alternative markets for Boeing jets include India, Latin America and Southeast Asia but discussions have barely begun because of their complexity and uncertainty over who might blink in the tariff standoff, industry sources said.
Reselling

Amid the delivery standoff, Boeing said it is looking to resell potentially dozens of planes locked out of China by tariffs.
The move to prevent a repeat of the costly build-up of undelivered jets seen during past safety and trade crises comes as the planemaker seeks to prevent tensions undercutting its efforts to save cash and pay down debts.
Boeing took the rare step of publicly flagging the potential aircraft sale during an analyst call on Wednesday, saying there would be no shortage of buyers in a tight jet market.
“Customers are calling, asking for additional airplanes,” CFO Brian West said. Such negotiations are usually kept tightly under wraps.

Two sources, who declined to be named as the discussions are private, said Air India was seeking around 10 narrowbody planes from Boeing for its budget carrier Air India Express, which has a fleet of more than 100 aircraft.
Air India, Air India Express and Boeing did not immediately respond to requests for comment.
“Air India is very interested ... if the deal goes through, the planes are expected to be added to the fleet by end of the year,” the first person said, adding the talks were in early stages.
Air India Express has previously taken white tail aircraft — or jets manufactured for one customer but acquired by another.
A third source familiar with talks between Air India and Boeing said any difference in jet configuration between its fleet and the incoming planes meant for Chinese customers may be factored into price negotiations.
The move could be a boost to Air India’s expansion plans as the group’s growth has been constrained by a lack of new aircraft.
Last month, Air India CEO Campbell Wilson said the airline was a “victim of circumstance,” referring to delivery delays plaguing Boeing and Airbus.

Complex negotiations
However, experts warned that carrying out the threat to divert jets to other buyers would not involve a simple switch.
Finding new customers after planes have been built “can be a costly endeavour,” industry publication Leeham News said.
Experts say many components, such as cabins, are picked by airlines and switching configurations could cost millions of dollars. Doing so may also create a tangle of contractual commitments and need the co-operation of the original buyer.
For its part, China has urged Washington to abandon the tariffs but its airlines are seen as hungry for new planes to meet demand and stay within domestic aircraft age restrictions.
“This will be extremely complicated. Everyone is flexing muscle but nobody completely has the upper hand,” said a senior aircraft finance industry source who requested anonymity.
Boeing’s public stand follows a threat from tariffs to the aerospace industry’s decade-old duty-free trading status. Senior industry officials say, however, there is no clear evidence of a reported official Chinese government ban on US jets.
The move to repatriate and re-market jets stands in contrast to a build-up seen during an almost five-year import freeze on 737 MAX jets into China and previous trade tensions.
“We’re not going to continue to build aircraft for customers who will not take them,” Ortberg told analysts.
Two jets ferried to China in March for delivery to Xiamen Airlines returned to Boeing in Seattle in the past week.
A third 737 MAX flew from Boeing’s Zhoushan completion center near Shanghai to the US territory of Guam on Thursday, Flightradar24 data showed. Guam is one of the stops Boeing delivery flights make on the journey across the Pacific.
The third plane was initially built for Air China , according to Aviation Flights Group. The flag carrier did not respond to a request for comment.
Boeing had planned to deliver around 50 new planes to China over the rest of this year, West said. It is studying options for re-marketing 41 that are already built or in production.

 


Trump warns Walmart: Don’t raise prices due to my tariffs but do eat the costs from those taxes

Updated 7 sec ago
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Trump warns Walmart: Don’t raise prices due to my tariffs but do eat the costs from those taxes

  • "I’ll be watching," Trump warned, adding that Walmart "made billions of dollars last year, far more than expected"
  • Walmart warned on Thursday that everything from bananas to children’s car seats could increase in price

WASHINGTON: President Donald Trump on Saturday ripped into Walmart, saying on social media that the retail giant should eat the additional costs created by his tariffs.
As Trump has jacked up import taxes, he has tried to assure a skeptical public that foreign producers would pay for those taxes and that retailers and automakers would absorb the additional expenses. Most economic analyzes are deeply skeptical of those claims and have warned that the trade penalties would worsen inflation. Walmart warned on Thursday that everything from bananas to children’s car seats could increase in price.
Trump, in his Truth Social post, lashed out at the retailer, which employs 1.6 million people in the United States. He said the company, based in Bentonville, Arkansas, should sacrifice its profits for the sake of his economic agenda that he says will eventually lead to more domestic jobs in manufacturing.
“Walmart should STOP trying to blame Tariffs as the reason for raising prices throughout the chain,” Trump posted. “Walmart made BILLIONS OF DOLLARS last year, far more than expected. Between Walmart and China they should, as is said, “EAT THE TARIFFS,” and not charge valued customers ANYTHING. I’ll be watching, and so will your customers!!!”

The posting by the Republican president reflected the increasingly awkward series of choices that many major American companies face as a result of his tariffs, from deteriorating sales to the possibility of incurring Trump’s wrath. Trump has similarly warned domestic automakers to not raise their prices, even though outside analyzes say his tariffs would raise production costs.
So far, those tariffs have darkened the mood of an otherwise resilient US economy. The preliminary reading of the University of Michigan survey of consumer sentiment on Friday slipped to its second lowest measure on record, with roughly 75 percent of respondents “spontaneously” mentioning tariffs as they largely expected inflation to accelerate.
In April, Walmart CEO Doug McMillon was among the retail executives who met with Trump at the White House to discuss tariffs. But the Trump administration went forward despite warnings and has attacked other companies such as Amazon and Apple that are struggling with the disruptions to their supply chains.
Walmart chief financial officer John David Rainey said he thinks $350 car seats made in China will soon cost an additional $100, a 29 percent price increase.
“We’re wired to keep prices low, but there’s a limit to what we can bear, or any retailer for that matter,” he told The Associated Press on Thursday after the company reported strong first-quarter sales.
The administration recently ratcheted down its 145 percent tariffs on China to 30 percent for a 90-day period. Trump has placed tariffs as high as 25 percent on Mexico and Canada due to illegal immigration and drug trafficking, harming the relationship with America’s two largest trading partners.
There is a universal baseline tariff of 10 percent on most countries as Trump promises to reach trade deals in the coming weeks after having shocked the financial markets in early April by charging higher import taxes based on trade deficits with other countries. Trump insists he intends to preserve the tariffs as a revenue source and that a framework agreement with the United Kingdom would largely keep the 10 percent tariff rate in place.
Trump has also placed import taxes on autos, steel and aluminum and plans to do so on pharmaceutical drugs, among other products.
The tariffs and Trump’s own reversals on how much he should charge have generated uncertainty across the US economy, such that Federal Reserve Chair Jerome Powell has held the central bank’s benchmark rates steady until there is more clarity. Powell has warned that tariffs can both hurt growth and raise prices.
On Saturday, Trump repeated his calls for Powell to cut the benchmark rates. That could cause inflation to accelerate, but the president has maintained that inflationary pressures have largely disappeared from the economy.
“Too Late Powell, a man legendary for being Too Late, will probably blow it again — But who knows???” Trump posted on Truth Social.


Pope Leo to take charge of Catholic Church at grandiose inaugural Mass

Updated 18 May 2025
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Pope Leo to take charge of Catholic Church at grandiose inaugural Mass

  • Sunday’s Mass will feature prayers in several languages, in a nod to the global reach of the 1.4-billion member Church, including Latin, Italian, Greek, Portuguese, French, Arabic, Polish, and Chinese

VATICAN CITY: Pope Leo XIV will formally take up his role as leader of the global Catholic Church on Sunday, with a Mass in St. Peter’s Square that will draw tens of thousands of well-wishers, including dozens of world leaders and European royalty.
Crowds are expected to cram the Square and surrounding streets in Rome for the formal celebration, which starts at 10:00 a.m. (0800 GMT) and includes the first ride in the white popemobile by Leo, the first pope from the United States.
Born in Chicago, the 69-year-old pontiff spent many years as a missionary in Peru and also has Peruvian citizenship, meaning he is also the first pope from that South American nation.
Robert Prevost, a relative unknown on the world stage who only became a cardinal two years ago, was elected pope on May 8 after a short conclave of cardinals that lasted barely 24 hours.
He replaces Pope Francis, from Argentina, who died on April 21 after leading the Church for 12 often turbulent years during which he battled with traditionalists and championed the poor and marginalized.
US Vice President JD Vance, a Catholic convert who clashed with Francis over the Trump administration’s hard-line immigration policies, will lead a US delegation alongside Secretary of State Marco Rubio, who is also Catholic.
Ukrainian President Volodymyr Zelensky will also attend and would be happy to meet other leaders, a top aide has said, as he did at Francis’ funeral when he had face-to-face talks with US President Donald Trump in St. Peter’s Basilica.
Zelensky last met Vance in February in the White House, when the two men clashed fiercely in front of the world’s media.
Also expected at the Vatican ceremony are the presidents of Peru, Israel and Nigeria, the prime ministers of Italy, Canada and Australia, German Chancellor Friedrich Merz and European Commission President Ursula von der Leyen.
Many European royals will also be in the VIP seats near the main altar, including Spanish King Felipe and Queen Letizia.

FOCUS ON PEACE
In various sermons and comments since his election as pope, Leo has praised Francis repeatedly but has not offered many hints about whether he will continue with the late pontiff’s vision of opening the Church up to the modern world.
His homily on Sunday is likely to indicate some of the priorities for his papacy, having already made clear over the past 10 days that he will push for peace whenever possible.
His first words in an appearance to crowds in St. Peter’s Square on the night of his election were “Peace be with you all,” echoing words Catholics use in their celebrations.
In a May 14 address to officials of the eastern Catholic Churches, many of whom are based in global hot spots such as Ukraine and the Middle East, the new pope pledged he would make “every effort” for peace.
He also offered the Vatican as a mediator in global conflicts, saying war was “never inevitable.”
Sunday’s Mass will feature prayers in several languages, in a nod to the global reach of the 1.4-billion member Church, including Latin, Italian, Greek, Portuguese, French, Arabic, Polish, and Chinese.
As part of the ceremony, Leo will also formally receive two items as he takes up the papacy: a liturgical vestment known as a pallium, a strip of lambswool which represents his role as a shepherd, and a special band known as the fisherman’s ring.
The ceremonial gold signet ring is specially cast for each new pope and can be used by Leo to seal documents. It features a design of St. Peter holding the keys to Heaven and will be broken after his death, marking an end to his papacy.


UK PM Starmer to agree deal to strengthen EU partnership, his office says

Updated 18 May 2025
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UK PM Starmer to agree deal to strengthen EU partnership, his office says

  • Brexit has grown increasingly unpopular with the British electorate

LONDON: British Prime Minister Keir Starmer is set to agree a deal next week to strengthen the country’s post-Brexit partnership with the European Union and to facilitate trade in some food products, his office said on Saturday.
Starmer will welcome EU leaders to London on Monday to help reset relations with the bloc, with both sides aiming to secure progress in specific areas while others will remain off-limits.
Britain left the EU in 2020, but Starmer has been trying to boost ties with the country’s biggest trading partner since his center-left Labour Party won last year’s national election.
The summit will result in a deal, his office said, though it provided few details beyond saying it would improve the situation for British producers currently facing checks on products or unable to export, and also that it would ease matters for families facing higher bills and queues when traveling.
“This week, the Prime Minister will strike yet another deal that will deliver in the national interest of this country. It will be good for growth, good for jobs, good for bills, and good for our borders,” Starmer’s 10 Downing Street office said in a statement.
Starmer on Friday raised the prospect that a youth mobility deal with the European Union would be struck at the summit.
Brexit has grown increasingly unpopular with the British electorate, opinion polls suggest, with the economy faring poorly in recent years and international trade a particular weak spot.


Bomb at fertility clinic in California kills one

Updated 18 May 2025
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Bomb at fertility clinic in California kills one

LOS ANGELES: An explosion outside a California fertility clinic Saturday killed one person in what the local mayor described as a bomb attack.
The blast ripped through downtown Palm Springs, badly damaging the clinic and blowing out the windows and doors of other nearby buildings, in what the city’s police chief said appeared to have been a deliberate act.
“The blast appears to be an intentional act of violence and the blast extends for blocks with several buildings damaged, some severely,” Palm Springs Police Chief Andy Mills said.
“There has been one fatality, the person’s identity is not known.”
Eyewitnesses told local media they had seen human remains near the American Reproductive Centers clinic, which appeared to have been badly damaged in the blast.
A statement posted on social media by the clinic said no staff had been hurt when the blast went off.
“This morning, an unexpected and tragic incident occurred outside our Palm Springs facility when a vehicle exploded in the parking lot near our building,” it said.
“We are heartbroken to learn that this event claimed a life and caused injuries, and our deepest condolences go out to the individuals and families affected.
“We are immensely grateful to share that no members of the ARC team were harmed, and our lab — including all eggs, embryos, and reproductive materials — remains fully secure and undamaged.”
Reproductive care, including abortion and fertility services, remain controversial in the United States, where some conservatives believe the procedures should be outlawed for religious reasons.
Violence against clinics providing such services is rare, but not unheard of.
US Attorney Bill Essayli said his office was aware of the blast.
“FBI is on scene and will be investigating whether this was an intentional act,” he said on X, formerly known as Twitter.
The local ABC affiliate, which cited an unnamed law enforcement source, reported five people were injured in the explosion and the person who died was a suspect in the blast.
Video posted online by witnesses showed debris scattered in the street in front of the clinic and windows shattered at multiple businesses in the area.
People living nearby reported feeling the shaking from the blast throughout the city.
Matt Spencer, who lives in a nearby apartment complex, told the Palm Springs Post he ran outside as soon as he heard the blast, and was confronted with the sight of the burned out car and what appeared to be a body in the middle of the road.
“In front of the building [the car] was blown clear across four lanes into the parking lot of [Desert Regional Medical Center],” he told the paper.
“I could see the back of the car still on fire and the rims, that was the only thing that distinguished it as a car.”
California Governor Gavin Newsom had been briefed on the explosion, his office said.
President Donald Trump’s Attorney General Pam Bondi said federal agents were working to determine exactly what had happened.
“But let me be clear: the Trump administration understands that women and mothers are the heartbeat of America. Violence against a fertility clinic is unforgivable,” she said in a statement on social media.


Five dead in helicopter collision in Finland, police say

Updated 18 May 2025
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Five dead in helicopter collision in Finland, police say

Five people were killed on Saturday when two helicopters collided and crashed in a wooded area near Eura Airport in southwestern Finland, police said.
Police said the mid-air collision occurred shortly after noon near the town of Kauttua, with the wreckage falling some 700 metres  from the Ohikulkutie road.
"Five people have died in a helicopter accident near Eura Airport on Saturday," Detective Chief Inspector Johannes Siirilä of the National Bureau of Investigation said.
According to flight plans, there were two people aboard one helicopter and three in the other, police said, adding that both helicopters were registered outside Finland.
One helicopter was registered in Estonia, the other in Austria, according to an Estonian Public Broadcasting  report, citing Finland's Helsingin Sanomat newspaper. Both belonged to Estonian companies. One was owned by NOBE and the other by Eleon, the report added.
The helicopters were reportedly en route to a hobby aviation event, according to the Pori Aviation Club, Yle News reported.
The National Bureau of Investigation is leading a joint probe with local police, and Finnish and Estonian authorities are cooperating.