Tuesday, 02 January 2024 12:17 GMT

Qatar Secures Landmark $200 Billion Boeing Deal Amid Trump’S Gulf Investment Push


(MENAFN- The Rio Times) Qatar finalized a $200 billion agreement with Boeing on May 14 to purchase 160 commercial jets, marking the largest single aircraft order in the U.S. aerospace giant's history.

The deal, signed during President Donald Trump's visit to Doha, underscores deepening economic ties between Washington and Gulf states. Qatar Airways will acquire the planes as part of a broader strategic partnership, though specific models and delivery timelines remain undisclosed.

Aviation analysts estimate the order likely includes 777X and 787 Dreamliner variants, with bulk-order discounts reducing the catalog value from $70 billion to $200 billion through bundled investments in U.S. infrastructure and defense.

Trump's Gulf tour began in Saudi Arabia, where he secured a $600 billion investment pledge targeting energy, AI, and defense. The Saudi package includes $142 billion for advanced missile systems and $20 billion from DataVolt for American data centers.

These agreements aim to counter Chinese and Russian influence while boosting U.S. manufacturing-the Boeing deal alone supports 35,000 jobs across 40 states.



“This is about American jobs and leadership,” Trump stated during the Doha ceremony, flanked by Qatari Emir Sheikh Tamim bin Hamad Al-Thani and Boeing CEO Kelly Ortberg.

Controversy emerged over Qatar's offer of a $400 million Boeing 747-8 for presidential use, which lawmakers compared to a“Trojan Horse” due to security concerns.

Senate Minority Leader Chuck Schumer criticized the gesture, stressing,“There's no free Air Force One.” The White House clarified the jet would be transferred to the Defense Department, not Trump personally, pending a security review.
Qatar and Saudi Arabia's Strategic Aviation Investments
Qatar's investment aligns with its strategy to diversify beyond liquefied natural gas, which accounts for 70% of state revenue. With $500 billion in sovereign wealth assets, the nation seeks to solidify its aviation dominance and counter regional rivals like Emirates.

Saudi Arabia's parallel $600 billion commitment faces skepticism, however, as its 2025 defense budget totals $78 billion amid rising Vision 2030 project costs.

Boeing's backlog of 1,400+ wide-body jets casts doubt on delivery timelines, compounded by ongoing 737 MAX recertification delays. Ortberg acknowledged production challenges but pledged to“meet expectations.”

For Qatar, the order ensures fleet modernization to compete in long-haul markets, while the U.S. gains a strategic foothold in Gulf defense sectors traditionally influenced by Beijing and Moscow. The deals reflect a calculated exchange: Gulf capital for American technology, jobs, and geopolitical leverage.

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The Rio Times

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