Boeing, Korean Air finalise order for 103 aircraft

Korean Air and Boeing have finalized an order for 103 aircraft worth US$36.2 billion, as announced on Wednesday. The deal, which was first discussed in 2025, includes a mix of wide-body passenger jets, freighters, and single-aisle planes. Notably, 20 of the planes are 777-9s, 25 are 787-10s, 50 are 737-10s, and eight are 777-8 Freighters. However, only the 787 is currently certified for commercial service, while the development of the 777-8 Freighter is ongoing.

The value of the order, after accounting for discounts, is estimated at around US$12.6 billion by aviation advisory and intelligence firm IBA. Korean Air values the broader package at US$44.8 billion, which also includes an agreement to purchase 21 spare engines from GE Aerospace and CFM International, as well as a 15-year engine maintenance contract covering 28 aircraft.

The investment is seen as crucial for Korean Air's long-term fleet expansion, following its integration with Asiana Airlines. The new aircraft are expected to improve fuel efficiency as Korean Air transitions to newer models. This is the largest order in the airline's history and was first revealed during a visit by South Korean President Lee Jae-myung to Washington last year.

Korean Air CEO Cho Won-tae stated that the newer aircraft will help the carrier expand its presence in the US and Latin America. Moreover, about 80% of the jets will replace existing aircraft in the carrier's fleet. Cho described the completion of the agreements as a significant milestone, highlighting the strengthened ties between the US and South Korea. Boeing echoed this sentiment, stating that the deal resulted from bilateral trade discussions.