Boeing, the famous aerospace giant, reported a massive decline in its share price during pre-market trading. The drop came amongst the latest trade threats, which gave the company a run for its money.
Amongst the 106 US products that will face the harsh import tariffs is the aircraft, which caused the shares of the company to fall steeply. The taxes, which were recently announced by China, have targeted up to $50 billion in tariffs on US products per year.
The decision of Donald Trump to levy tariffs on steel and other products caused uproar amongst people on the local and global front. The news prompted the stock prices and stock markets to tumble. Now, China’s decision to import tariffs on US products has caused an enormous uproar and is already causing share prices to fall.
As a result, the shares of the US aerospace giant declined during the extended hours of trading on Wednesday. The impact of the new Chinese tariffs is going to be immense, and we have already seen their impact on Boeing and its shares today.
In recent news, Beijing has announced the latest list of tariffs on 106 US products that includes whiskey and automaker producers. China’s decision to levy import tariffs is a move in response to the US decision to import taxes. A tit for tat response has had a significant impact on different stock markets, and prices and Boeing shares are the latest to suffer a blow.
Due to the announcement today, Boeing’s shares dropped by 6 percent around 7:00 AM ET Wednesday. Boeing’s rival, Airbus, also faced a drop in its share price.
Even though the date of the new tariffs isn’t known yet, China has revealed that up to $50 billion worth of US products will be affected on a yearly basis. Irrespective of when the tariffs will come into effect, it is confirmed nonetheless that the taxes are going to have a huge impact on the companies, the products that make and the global stock markets.