SpiceJet has ordered $22 billion worth of new aircraft from Boeing, an airline official announced last week.
During Monday’s joint press conference with Indian Prime Minister Narendra Modi, President Trump openly declared that India’s $24 billion trade surplus needs to be reduced. SpiceJet’s $22 billion order alone almost single-handedly balances their trade surplus.
“I was pleased to learn of an Indian airline’s recent order of 100 new American planes, one of the largest orders of its kind which will support thousands of American jobs” President Trump said during the press conference.
SpiceJet CEO Ajay Singh issued a similar statement, saying “This is a $22-billion order and these planes will be manufactured in the US. As per the US Department of Commerce, it creates 132,000 high-skilled, high-paid American jobs within the US.”
Spicejet’s long-term order for up to 205 Boeing airplanes, 40 of which include the new Boeing 737-10 aircraft, is estimated to create over 132,000 American jobs.
Although Spicejet is the only Indian carrier who currently has an order placed with Boeing, there is a recent foreign buying trend towards Airbus, another American airplane manufacturer.
Trump’s protectionist redirect has long caused pundits to fear a trade war as an unintended consequence. On the contrary, Trump’s campaign promise of balancing trade deals has at least been partially fulfilled without facing retaliatory tariffs.