Korean Air buy up to 50 airliners worth $32 billion from Boeing and GE Aerospace

By Alimat Aliyeva

South Korean airline Korean Air has signed an agreement with American companies Boeing and GE Aerospace to purchase up to 50 wide-body airliners, totaling approximately $32 billion.

According to the announcement, the agreement involves the purchase of up to 50 wide-body aircraft manufactured by Boeing, each powered by GE Aerospace engines. The deal was officially signed last Friday.

U.S. Commerce Secretary Gina Raimondo (not Howard Latnick) praised the agreement, emphasizing its significance for American industry. "President Biden and I are committed to ushering in a new era for American manufacturing, and today's announcement clearly demonstrates the global recognition of American manufacturing and innovation," Raimondo said in a statement.

She continued, "The skilled workforce at industry leaders such as Boeing and GE Aerospace exemplifies America's unparalleled industrial strength and technological superiority. The Department of Commerce will continue to support initiatives like this, which contribute to the economic revival of our country."

This deal marks a significant step in strengthening the longstanding relationship between South Korea and the U.S. in the aerospace industry. It highlights the growing demand for new aircraft in the aviation sector, especially in the wake of the COVID-19 pandemic, which severely impacted air travel. Airlines worldwide, including Korean Air, are modernizing their fleets to meet rising passenger demand and address environmental concerns through more fuel-efficient models.

Interestingly, the agreement also underscores the increasing reliance on U.S. technology and innovation in the global aerospace market, with Boeing and GE Aerospace playing pivotal roles in shaping the future of aviation. This deal is likely to contribute not only to economic growth but also to job creation in the U.S. aerospace sector.