Korean Air Places $36bn Boeing Order Amid US–South Korea Trade Push
Korean Air has struck a multibillion-dollar deal with Boeing to purchase 103 aircraft, a move announced in Washington on Monday as U.S. President Donald Trump urged trading partners to boost purchases from American companies.
Valued at roughly $36 billion, the agreement covers a mix of Boeing’s 787 Dreamliners, 777 wide-body jets, and 737 single-aisle planes. Korean Air chairman Walter Cho said the order comes at a “pivotal moment,” positioning the flag carrier to modernise its fleet as it prepares to merge with rival Asiana Airlines.
The announcement coincided with South Korean President Lee Jae Myung’s talks with Trump, which included discussions on the 15% U.S. tariffs imposed on South Korean goods in July. The unveiling took place at a joint business forum attended by senior officials from both governments, including U.S. Commerce Secretary Howard Lutnick and South Korean Trade Minister Kim Jung-kwan, alongside corporate leaders from Samsung, Hyundai Motor Group and Nvidia.
Boeing said the order will sustain around 135,000 U.S. jobs, calling it a “landmark agreement.” The purchase consists of 50 Boeing 737-10s, 45 long-range passenger aircraft, and eight 777-8 freighters.
The deal is part of a wider package of economic commitments announced during the summit. South Korea’s Hyundai revealed it is increasing its U.S. investment from $21 billion to $26 billion, with plans for a robotics plant capable of producing 30,000 units annually. Samsung’s shipbuilding arm also signed an agreement with Oregon-based Vigor Marine Group to support U.S. Navy maintenance operations. Seoul has separately pledged $150 billion to bolster the American shipbuilding sector.
Korean Air has now placed more than 150 Boeing orders and commitments this year alone. Monday also brought confirmation of a $13.7 billion deal with GE Aerospace to supply engines for the new fleet.
The Korean purchase follows similar commitments from U.S. allies. In July, Japan ordered 100 Boeing jets as part of its trade agreement with Washington, while Indonesia’s Garuda pledged to buy 50 planes in exchange for tariff relief. The wave of deals has lifted Boeing ahead of European rival Airbus in new orders.
The announcements come as Boeing works to recover from years of turbulence, including two fatal crashes involving its 737 Max aircraft, a mid-air panel blowout in 2024, and lengthy worker strikes that disrupted production.
Founded in 1969, Korean Air is one of Asia’s largest carriers and operates a fleet of more than 150 aircraft.
