US-China trade war causing ‘psychological uncertainty’ among Airbus partners, customers in China
- Prolonged dispute will affect China’s aviation growth, says head of Airbus in China
- Boeing’s top official in China say that his company has been urging the US government to find a solution to the trade war
The US-China trade war has caused quite a “lot of psychological uncertainty” among European aircraft maker Airbus’ Chinese partners and customers regarding their expectations for the country’s aviation industry, a top official said on Tuesday.
“This will have a negative impact on China’s aviation growth,” Xu Gang, chief executive of Airbus China, told a press briefing at the biennial Airshow China in the southern coastal city of Zhuhai. “Nobody will be the winner of this kind of trade war.”
China’s air travel market, which has enjoyed double-digit annual growth over the past few years, is set to overtake the US to become the world’s largest in terms of passengers in the next two decades, according to Airbus and its US rival Boeing, which dominate the large aircraft segment.
Boeing estimates the Chinese market for civilian aircraft to reach 7,690 jets worth US$1.2 trillion over the next two decades.
But the escalating trade war between the world’s largest two economiesand China’s slowing economy has sparked concerns over such rosy outlook.
Passenger jets, America’s largest category of exports to China last year at US$16.3 billion, have not yet been hit by tariffs levied by Beijing.