Boeing and Korean Air have unveiled a landmark agreement valued at $36 billion (£24bn) for the purchase of 103 aircraft, a deal announced as US President Donald Trump continues urging trade partners to boost purchases from American companies.
The order covers a mix of Boeing’s 787 Dreamliner, 777, and 737 passenger jets, according to a joint statement. Korean Air President Walter Cho said the investment comes at a “critical juncture,” helping to modernize the airline’s fleet and strengthen its global competitiveness as it moves forward with its merger with Asiana Airlines.
The announcement closely followed South Korean President Lee Jae Myung’s meeting with Trump in Washington, where the two leaders discussed the recently imposed 15% US tariffs on South Korean exports.
The agreement was formally announced at a gathering of senior government officials and business leaders from both the United States and South Korea. Among those present were US Commerce Secretary Howard Lutnick and South Korea’s Trade Minister Kim Jung-kwan.
Executives from some of South Korea’s biggest corporations, including Samsung and Hyundai Motor Group, attended the event, alongside Nvidia CEO Jensen Huang. According to Seoul’s trade ministry, the Korean Air order was just one of several major deals unveiled during the talks.
Other agreements included a partnership between Samsung Heavy Industries and Oregon-based Vigor Marine Group to support US Navy maintenance operations. This came after Seoul pledged $150 billion to back America’s shipbuilding sector as part of its trade commitments with Washington.
South Korea’s Hyundai also announced plans to boost its US investment from $21 billion to $26 billion, with a new facility expected to manufacture 30,000 robots annually. The expansion was confirmed shortly after President Trump met with South Korean President Lee Jae Myung at the White House.
Boeing’s commercial airplanes president, Stephanie Pope, described Korean Air’s purchase as a “landmark agreement.” The deal covers 50 Boeing 737-10 passenger aircraft, 45 long-range jets, and eight 777-8 Freighter cargo planes. Boeing said the order would sustain about 135,000 US jobs, noting that the company employs more than 170,000 people worldwide.
With this latest contract, Korean Air’s total orders and commitments for Boeing aircraft in 2025 surpass 150 units. Seoul confirmed in March that the airline was finalizing negotiations with Boeing and GE Aerospace. On Monday, a separate $13.7 billion deal with GE was also made public.
The Korean Air order comes as several US trade partners strike similar arrangements. In July, Japan committed to purchase 100 Boeing planes as part of its agreement with Washington, while Indonesia’s flag carrier Garuda confirmed an order for 50 jets in exchange for tariff concessions. These deals have helped Boeing outpace its European rival Airbus in global sales this year.
Despite this momentum, Boeing continues to face scrutiny following a series of high-profile setbacks. Two fatal crashes in Indonesia (2018) and Ethiopia (2019) claimed more than 340 lives, while a mid-air panel blowout on a 737 Max in 2024 reignited safety concerns. The company also endured an almost eight-week strike by 30,000 workers last year, severely disrupting production.
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