Boeing and Korean Air announced on Monday a landmark deal for 103 aircraft, marking a significant boost for the US aviation giant as Washington pushes its trading partners to expand business with American companies.
The agreement, which includes Boeing 787, 777, and 737 passenger jets, comes at what Korean Air chairman Walter Cho described as a “pivotal moment” for the airline. The new planes will help modernize its fleet and strengthen competitiveness as it moves forward with its merger with Asiana Airlines.
The announcement followed South Korean President Lee Jae Myung’s meeting with US President Donald Trump in Washington, where the two leaders discussed the 15% tariffs the US imposed on South Korean goods in July. The order was unveiled during a joint business and government forum attended by US Commerce Secretary Howard Lutnick and South Korea’s trade minister Kim Jung-kwan.
As part of the deal, Korean Air will purchase 50 Boeing 737-10 jets, 45 long-range aircraft, and eight 777-8 Freighter cargo planes. Boeing said the order will support around 135,000 jobs across the US, where the company employs more than 170,000 people worldwide. With this latest transaction, Korean Air has placed over 150 Boeing orders and commitments in 2025 alone.
The deal had been anticipated since March, when Seoul confirmed Korean Air was finalizing an agreement worth over $32 billion with Boeing and US engine maker GE Aerospace. The partnership with GE was also confirmed on Monday.
The announcement came alongside another major investment by South Korea’s Hyundai Motor Group, which said it would increase its US investment from $21 billion to $26 billion and build a new facility capable of producing 30,000 robots annually.
Several other US trade partners have made similar large-scale Boeing purchases amid negotiations with the Trump administration. In July, Japan announced plans to buy 100 Boeing jets as part of a trade agreement, while Indonesia’s Garuda committed to 50 aircraft in a deal aimed at reducing US tariffs. These orders have bolstered Boeing’s global sales, allowing the company to outpace its European rival, Airbus.
The multibillion-dollar contracts also come as Boeing seeks to rebuild confidence following a series of crises in recent years. The company’s reputation was badly damaged after two fatal crashes involving its 737 Max aircraft in Indonesia (2018) and Ethiopia (2019), which killed a combined 346 people. In 2024, a Boeing 737 Max suffered a mid-air panel blowout, renewing concerns over safety. Production was also slowed by an eight-week strike involving 30,000 US factory workers last year.
Despite these challenges, Boeing’s latest orders underscore its continued dominance in global aviation manufacturing and highlight the role of trade negotiations in shaping aircraft sales.
