Monday, September 21, 2015

Boeing's China Visit Is Not A Tea Party

China is visiting Boeing this week. It is not a political junket for China's president, Xi Jinping. He is not interested in Seattle's importation of restaurants in the downtown Seattle area. Xi is looking at what an auto pen will do to Boeing's order book. A Translator from China relates to Xi Jinping, "If you push this button it will sign your name here, here, and here. Viola, China now owns a good chunk of Boeing's production.

The Boeing walk through- meet and greet is underway. The glad handing promenade is a nonstop tour of the American industrial and technological engine, China can't wait for current conditions to turn up for its own aviation juggernaut to catch up. They need aircraft now. Well at least in the next five years.

This week’s Boeing tour is not exploratory, it's more of a validation on the production might Boeing has, and it is giving China more assurance, and yes Boeing can do the Job with China's top leader in the buildings. The "shop stop" signals a deal will be done this year. It will be a single aisle barrage splinting up China's domestic expansion. It will also be a wide body "all-in" stance, since it brings China to the world. Several airlines like China Southern have already committed to Boeing through its testing fleet of 787's, using the 787 in long range market, and it agrees that it is a winner and the foundation for world travel.

The last questions remain for Boeing, "do you want it super-sized with 787-10's or will the Max -8's be your order today?"

China has a huge thirst at this time. It should be a super-sized orders for its national carriers. A China order should be an all-in Max line, complemented by its 787 family of aircraft. If only Winging It had an "Eager Meter" strapped to Xi Jinping's wrist, I could tell you an accurate guess on China's Boeing Aspirations. This is not a tea party, but more of a fortune cookie.