Seoul (TDI): South Korea’s Ministry of Industry has said that Korean Air will soon finalize a $32.7 billion deal for new Boeing aircraft and GE Aerospace engines with the United States.
Last year, Korean Air announced that it would order twenty 777-9 and twenty 787-10 aircrafts from Boeing, with options for an additional ten planes. It signed a memorandum of understanding in July.
If finalized, the plane deal would be worth $24.9 billion. South Korea’s industry ministry said in a statement that an order for eight spare GE engines, with options for two more, and engine maintenance services would be worth $7.8 billion.
On the occasion of MOTIE Minister Dukgeun Ahn’s visit to Washington D.C. from Mar. 20-21, Mr. Ahn and U.S. Secretary of Commerce Howard Lutnick jointly attended a signing ceremony with Korean Air, Boeing & GE to strengthen their strategic partnerships.https://t.co/zHeNlgmOMd
— MOTIE – Korea (@MOTIEKoreaEng) March 21, 2025
South Korea’s Industry Minister Ahn Duk-geun is visiting Washington DC for the second time this month, as concerns escalate globally over US President Donald Trump’s plan to impose tariffs on various trading partners and sectors.
Ahn stated that the deals would facilitate further exchanges between the two countries and that the South Korean government would actively support cooperation in the private sector.
A signing ceremony signaling an intent to strengthen aerospace partnerships was attended by Ahn, US Secretary of Commerce Howard Lutnick and executives from Korean Air, Boeing and GE Aerospace.
“This event marks the first joint participation of Ministers from Korea and the United States under President Trump’s second administration, raising expectations for further cooperation between the two countries in various areas including aviation, semiconductors, shipbuilding and energy,” South Korea’s industry ministry said.
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Korean Air completed its $1.3 billion purchase of two-thirds of Asiana Airlines in December. This deal makes Korean Air one of the largest airlines in Asia.
Malaysia Aviation Group, the parent company of Malaysia Airlines, announced on Friday that it plans to purchase 30 new Boeing 737 aircraft for delivery in 2029.
Meanwhile, Japan Airlines stated on Wednesday its intention to acquire 17 additional Boeing 737-8 aircraft.
Areeba Kanwal is a contributor at The Diplomatic Insight and has passion for International Relations and diplomacy.
