The chief executive of the Boeing Company, Dennis Muilenburg said that they are "concern" about the China-US trade tariffs as this might affect the dealings between the two countries, especially on the cost of supply because the said taxes could possibly push the costs for the aircraft industry.
However, as of the moment, there is no business impact yet. Muilenburg said that the discussion they have right now is not about the actual execution, but all about the planned tariffs. So, for now, they are not seeing the consequences just yet, but said that the “rhetoric about potential penalty actions is a concern for us".
“We are very much engaged in the discussion. We are concerned that it could affect supply chain costs. But note that supply chains are flowing in both directions between (these) countries as we both support existing fleets as well as build new airplanes,” Muilenburg said.
For the record, Washington has imposed 25 percent tax on Chinese imports, while Beijing reacted on the tariffs with the same amount as of U.S. exports to China. With this, U.S. lifted it again to 10 percent tariffs on $200 billion Chinese goods. China reacted and said that they will hit back against the U.S.
The head of the giant aerospace company said that they are really involved with the two governments and their voice is acknowledged. Muilenburg and the company are really hoping for the best and that the two countries could find a better solution to the conflict. He added that their function is that they maintain the good relationship and long-term perspective between the two government.
The U.S. Administration has already executed tariffs on the aluminum and steel imports with 25 percent tax. Aluminum from Canada, EU, and Mexico has 10 percent tax.
