On Monday, US aviation giant Boeing and Korean Air announced a deal worth approximately $36 billion (£24 billion) for 103 planes, as President Donald Trump urges trading partners to increase their business with American companies.
According to a joint statement from the two companies, the deal includes 787, 777 and 737 passenger jets.
Korean Air boss Walter Cho said the new jets would come at a “pivotal moment” and modernise the South Korean flag carrier’s fleet, ensuring it stays competitive as it merges with Asiana Airlines.
The agreement was announced just hours after South Korean President Lee Jae-myung met Trump in Washington to discuss the 15% tariffs imposed by the US on South Korea in July.
It was unveiled during a meeting between government representatives and business leaders from both countries, attended by US Commerce Secretary Howard Lutnick and South Korean Trade Minister Kim Jung-kwan.
Top executives from technology giant Samsung and car manufacturer Hyundai Motor Group were also present, as was Nvidia boss Jensen Huang.
According to Seoul’s trade ministry, the Korean Air deal was among a series of agreements made during the talks.
These include a collaboration between Samsung’s shipbuilding division and the Oregon-based Vigor Marine Group, which will support maintenance operations for the US Navy.
Earlier, Seoul had promised $150 billion to support the US shipbuilding industry as part of its trade deal with Washington.
On Monday, South Korea’s Hyundai also announced that it is increasing its investment in the US from $21 billion to $26 billion.
Shortly after the meeting between Trump and Lee, the company revealed plans to establish a new facility in the US with the capacity to produce 30,000 robots annually.
Stephanie Pope, chief of Boeing’s commercial planes division, hailed Korean Air’s order as a “landmark agreement”.
This order includes 50 Boeing 737-10 passenger planes and 45 long-range jets. Korean Air will also purchase eight 777-8 Freighter cargo aircraft.
Boeing says the deal will support some 135,000 jobs across the US. The company employs more than 170,000 people globally.
With this latest purchase, Korean Air has now placed orders and commitments for more than 150 Boeing aircraft this year.
The jet order has been in the pipeline for some time. In March, Seoul announced that Korean Air was finalising an agreement with Boeing and US engine manufacturer GE Aerospace. The $13.7 billion deal with GE was announced on Monday.
Several countries negotiating trade agreements with the Trump administration have announced plans to place significant orders for Boeing aircraft.
For example, in July, Japan agreed to purchase 100 Boeing aircraft as part of its trade agreement with the US.
Indonesia’s flag carrier, Garuda, agreed to purchase 50 Boeing aircraft in a deal designed to reduce US tariffs on the Southeast Asian country.
These deals have helped the US company overtake its European rival Airbus in terms of sales.
However, Boeing has been hit by a series of crises in recent years, including two fatal crashes and a mid-air blowout of a piece of one of its planes.
In 2018, a Boeing 737 crashed shortly after taking off from Jakarta, Indonesia, killing all 189 people on board. A few months later, another 157 people died when a Boeing plane crashed shortly after taking off in Ethiopia.
In a separate incident in 2024, a panel fitted over an unused emergency exit on a Boeing 737 Max came off mid-flight.
Last year, an eight-week strike by around 30,000 workers dramatically slowed production at the aircraft manufacturer’s US factories.
