Boeing faces financial strain as US-China trade tensions impact aircraft deliveries

Ryanair Group CEO Michael O'Leary has expressed concerns about the potential imposition of new import tariffs by the US, which could lead the airline to delay the delivery of 25 Boeing 737 MAX jets scheduled for delivery by March or April 2026.

Despite Boeing's efforts to remain competitive, the company faces challenges with its 777X program, which has been delayed to 2026. The lack of domestic demand further complicates the potential success of the 777X.

Moody's downgraded Boeing to Baa3, while Airbus has a stronger A2 credit rating, even with a negative outlook. In terms of market share, Airbus holds a 56% global share compared to Boeing's 40%, which could potentially fall to 20-25%.

"Boeing's loss of market share has been mirrored by its worsening financial situation," CNN reported, emphasizing the company's reliance on raising capital through stock and debt offerings and securing financing from major banks and Wall Street.

The ongoing tariff situation could affect Boeing's capacity to pursue major future projects, such as the development of a new 797 model, and might result in a $1.2 billion reduction in revenue if the Chinese market remains closed off.