Boeing won a big order from Qatar Airways on Monday as the airline feuds with rival manufacturer Airbus. The Shares of Boeing surged on the orders, ending the day up 5.1% at $200.24. The aircraft manufacturer said the order is worth $34 billion at list prices, though airlines usually receive discounts, especially for such large orders.
At a White House ceremony on Monday, Qatar Airways CEO Akbar Al Baker signed a provisional order for 25 737 Max 10 jets, the largest model in the Max family, along with options to buy 25 more of the planes. Boeing CEO Dave Calhoun attended along with Commerce Secretary Gina Raimondo and Qatar’s ambassador to the U.S., Sheikh Meshal bin Hamad Al Thani.
A web of travel restrictions and Covid cases drove down international travel, depriving cargo customers of belly space in passenger planes. Combined with a series of port snarls, air freight demand and prices surged over the past year. Last week, Boeing said cargo traffic rose 7% from pre-pandemic levels, driving record demand for its freighter planes.