Kimbal Musk Warns Of Boeing's Decline Amid US-China Decoupling: Fewer Planes, Pricier Parts, And Lost Jobs As Airbus Gains Ground

Tesla Inc. TSLA board member and Elon Musk’s brother, Kimbal Musk, warned on Wednesday that Boeing Co. BA faces significant challenges as U.S.-China trade tensions escalate, potentially benefiting European rival Airbus EADSF.

What Happened: “Boeing is now cancelled in China. The great decoupling begins,” Musk wrote on X, highlighting that each Boeing plane manufactured in America contains approximately 10,000 Chinese-made parts.

His comments follow China’s orders to its airlines to halt Boeing jet deliveries and refrain from purchasing aircraft-related parts from U.S.-based companies. This response to President Donald Trump‘s reciprocal tariffs comes after China imposed 125% retaliatory tariffs on American goods over the weekend.

“Boeing’s prices to Americans will jump sky high because parts to make their planes will be much more expensive,” Musk cautioned. “This means we will make less planes and enable Airbus to take up the demand that Boeing can’t supply anymore to the world.”