China's big three airlines seek B737 MAX payouts from Boeing

_A Monitor Report01 Jun, 2019 | 650 Views|-+
Shanghai : China's three biggest airlines have filed claims seeking compensation from Boeing over the grounding and delayed delivery of 737 MAX 8 aircraft following two deadly crashes.

China Sou-thern Airlines, China Eastern Airlines, and Air China, seeking payouts from the American aerospace giant come against the backdrop of an escalating US-China trade war.

China Southern is Asia's largest carrier by fleet size, China Eastern is the country's number two, while Air China is the state flag carrier.

A spokesman for China Eastern confirmed that the airline had presented Boeing with a compensation claim. The spokesperson did not mention any financial or other detail.

China became the first country to order its airlines to ground the 737 MAX on March 11 as a result of the two tragedies.

The day before, an Ethiopian Airlines 737 MAX crashed minutes after takeoff from Addis Ababa, killing all 157 people on board, including eight from China.

That followed the October crash of a Lion Air 737 MAX, which went down shortly after takeoff from Jakarta, killing all 189 people on board.

Grounding Boeing 737 MAX 8 planes had resulted in great losses for the company (China Eastern) and the losses are still expanding.

Shanghai-based China Eastern has grounded its 14 MAX planes while the US aviation giant addresses the safety risks. It was not clear how many planes the other two airlines had grounded.

But Chinese media have previously reported that a combined 96 MAX aircraft were in service among all of China's carriers.

There was no immediate indication that the move was related to the increasingly bitter trade conflict.

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