GE and Boeing express gratitude to Trump for significant Middle East agreements

Boeing and GE Aerospace Celebrate Qatar Order

During a recent visit to the Middle East, President Donald Trump received considerable praise for his diplomatic efforts, particularly for facilitating a major $96 billion order from Qatar Airways. Both Boeing’s CEO, Kelly Ortberg, and GE Aerospace’s CEO, Larry Culp, expressed their gratitude for the support.

This week, GE’s stock saw a 5.6% increase following Qatar Airways’ announcement of the purchase of 210 widebody jets from Boeing, as noted by the White House. As part of this agreement, GE will provide 400 engines for Boeing’s 777-9 and 787 models.

Significance of the Qatar Deal

For investors in Boeing, this deal doesn’t just offer a sense of stability; it’s crucial for a company that has faced challenges over issues like safety and production delays. Analysts have pointed out that Boeing’s backlog looks promising, suggesting that their production may be sold out for years to come, potentially pushing into the next decade.

Ortberg emphasized the economic impact of the deal, stating that it would create jobs for around 400,000 people, and all aircraft will be manufactured in the United States. Culp, discussing Boeing’s exclusive engine partnership, noted the success of GE’s NX engine in the 787 and the significance of the new 9X engine for the 777X, which is set to be the largest commercial engine globally.

Overall, analysts are optimistic about both Boeing and GE Aerospace. A significant number of them recommend buying shares, with many seeing strong potential for growth. Despite facing some volatility earlier this year due to tariffs, both companies have shown resilience, with Boeing’s shares up nearly 20% and GE Aerospace’s parent company, General Electric, rising by 37%.

In addition to the Qatar deal, the two companies have secured further agreements worth $14.5 billion with Abu Dhabi’s Etihad Airlines for their 787 and 777X models. Trump, during his trip, managed to negotiate deals exceeding $2 trillion with various Middle Eastern countries, highlighting the extensive commercial and defense contracts he secured.

Amidst this, Trump humorously referenced delays with the Air Force One project, which led to Qatar’s generous $400 million offer of 747 jets. The administration noted that the overall deal package for the Middle East investments included significant commitments from Saudi Arabia and the United Arab Emirates.