On Monday, Korean Air announced an order worth $50 billion for 103 Boeing and GE Aerospace engines and their servicing. The order coincides with a visit by South Korean president Lee Jae Myung to Washington. The order, which is the largest order in Korean air carrier history, includes Boeing 787, 777 and 737 aircraft with a full value of about $36.5 billion. The Reuters Agency informed of the conclusion of the contract for the first time on Monday.
On Monday, Korean Air besides announced a separate deal with GE to acquisition and keep $13.7 billion worth of engines. Many countries negotiating trade agreements with the Trump administration have announced or are planning to announce crucial orders for Boeing aircraft. In fresh months, Boeing has acquired a number of large orders.
President of Korean Air Cho Won-tae, who late visited 1 of Boeing's factories in the US, said on Monday the Reuters agency's evidence order would aid the largest Korean airlines grow to further markets in the US, Latin America and South America.
Cho said about half of the fresh order for 103 aircraft is 737 MAX 10, and the remainder is simply a combination of 777-9 and 787. About 80% of Boeing's fresh aircraft will replace existing fleet machines. He stated that the company inactive has assurance in Boeing despite the earlier problems of this aircraft manufacturer. According to the South Korean Ministry of Industry, the value of the contract with Boeing is $36.2 billion, including the contract with GE.
Boeing reported that the agreement would aid Korean Air to full integrate its operations with Asian Airlines, a subsidiary of the largest South Korean airlines that it took over last year.
"As Korean Air transforms into a larger, unified carrier, we are determined to support airline improvement by offering 1 of the most efficient fleets in the world," said Stephanie Pope, CEO and CEO of Boeing Commercial Airplanes. Trade Secretary Howard Lutnick told the Reuters agency that the large Boeing and GE deal would increase the exports of the American aviation industry.
"The planet recognises that our aircraft are the most advanced in the world, and this administration is determined to decision jobs in advanced productions to the US," Lutnick said.
In March, the South Korean Ministry of manufacture reported that Korean Air had announced the imminent completion of a $32.7 billion contract for Boeing and GE's fresh engines. Last year Korean Air announced the order of 20 aircraft 777-9 and 20 787-10 from Boeing, with an option for another 10 machines. The fresh order is independent of that purchase. Korean Air Airlines, a member-founder of the SkyTeam alliance, were formed in 1969 erstwhile the state-owned Korean Air Lines were taken over by the South Korean conglomerate Hanjin Kal.
