Boeing (BA) shares are falling in premarket trading Tuesday after Beijing reportedly told its airlines not to take more deliveries of the American company's jets, as the trade war between the U.S. and China heats up.
Beijing also "asked that Chinese carriers halt any purchases of aircraft-related equipment and parts from U.S. companies," Bloomberg reported, citing peop♔le familiar with the matter.
China last Friday hiked its tariffs on imports from America to 125%, in retaliation for the 145% duties its g✨oods face from the U.S. The report said the 125% tariffs on U.S. imports would "have more than doubled the cost of U.S.-made aircraft and parts, making it impractical for Chinese air♛lines to accept Boeing planes."
Boeing shares, which have fallen 10% year-to-date enteriཧng Tuesday, were down a ꦍfurther 3% in premarket trading.
Boeing didn't immediately respond to a request for comment.