China Eases Tariffs on Aircraft Parts Amid Trade Tensions

China has exempted certain aircraft parts, like jet engines, from import tariffs, according to Safran's CEO. This move appears aimed at easing trade tensions with the U.S. and includes equipment such as engines and landing gear. Finished aircraft remain unaffected by these exemptions.

In a move to alleviate ongoing trade tensions with the United States, China has decided to waive import tariffs on selected aircraft parts, including jet engines. This revelation came from Olivier Andries, the CEO of French engine manufacturer Safran, during a first-quarter results call on Friday.

Andries confirmed that the tariff exemptions apply to engines, landing gear, and nacelles, essentially various aerospace equipment components. However, finished aircraft are not covered under this decision, indicating the complex and fluid nature of trade relations.

This decision aligns with China's broader strategy to potentially exempt some U.S. imports from steep tariffs, a move business groups cite as indicative of bilateral attempts to defuse a persistent trade war. A circulating list of eligible products hints at possible tariff relief across diverse categories, including vaccines and chemicals, opening avenues for improved economic cooperation.

(With inputs from agencies.)