China today signed a USD 37 billion agreement to buy 300 aircraft from US aerospace giant Boeing during President Donald Trump's maiden visit to the country.
The China Aviation Suppliers Holding Company (CASC) signed the deal to buy 300 Boeing single-aisle and twin-aisle aircraft, made up of planes from the 737, 787 and 777 families.
The deal with Boeing was among the more than USD 250 billion agreements made between the US and China during President Trump's maiden visit amid his criticism of the Communist giant's unfair business practices and the whopping USD 370 billion trade deficit.
Boeing in a statement said the agreement was part of the US trade mission to China.
It said the agreement includes "orders and commitments" to buy the aircraft, but it did not give a further breakdown.
China has seen a surge in the civil aviation transportation market in recent years.
The CASC in a statement said that it has undertaken bulk purchases of Boeing aircraft to allow aviation transport companies to continuously expand their capacity and fleet structure.
The agreement is a result of an overall consideration of the country's air transport market and the production schedule of Chinese-produced passenger aircraft, the CASC said.
Kevin McAllister, president and CEO of Boeing Commercial Airplane said, "China is a valued customer and key partner, and we are proud that Boeing airplanes will be a part of its fleet growth for years to come."
"Boeing and China have a strong history of working together based on great mutual respect, and these orders build on that foundation," state-run Xinhua news agency quoted him as saying.
Boeing and China will continue to work on mutually beneficial ways to grow and support the aviation market, according to Boeing.
These efforts include industrial cooperation, the development of technologies to reduce the environmental impact and enhance sustainability of the aviation industry. Both sides will continue cooperation to support the safety, efficiency and capacity of China's air transport system.
In May, Boeing started construction of the first overseas production center for its most popular 737 family of aircraft in the east China port city of Zhoushan, including a completion center and delivery center.
According to Boeing's latest market outlook, China is expected to need 7,240 new aircraft over the next 20 years, valued at nearly USD 1.1 trillion. Of these, 5,420 would be single-aisle aircraft.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)