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View all search resultsGaruda to buy 79 Boeing aircraft in bid to ease US tariff pressure
State-Owned Enterprises (SOEs) Minister Erick Thohir has announced that national flag carrier PT Garuda Indonesia will increase its planned order of Boeing aircraft to 79 planes as part of ongoing import tariff negotiations with the US.
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Technicians prepare a Garuda Indonesia plane for a test flight using sustainable aviation fuel on Oct. 27, 2023, at Soekarno-Hatta International Airport in Tangerang, Banten. (Antara/Farhan Arda Nugraha)
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tate-Owned Enterprises (SOEs) Minister Erick Thohir has announced that national flag carrier PT Garuda Indonesia will increase its planned order of Boeing aircraft to 79 planes as part of ongoing import tariff negotiations with the United States.
“This is a new agreement. The old deal has expired and was annulled during the PKPU process. The new total is 79 aircraft,” Erick said at the legislative complex in Senayan, South Jakarta, on Tuesday, as Kumparan reported.
Garuda Indonesia’s revised figure slightly exceeds the earlier plan to buy 50 to 75 aircraft, which was disclosed by Garuda president director Wamildan Tsani Pandjaitan earlier this month, as reported by Bloomberg Technoz on July 3.
Wamildan said talks with Boeing were still at an early stage but noted that “it was very likely” that the firm would purchase 737 Max and 787 Max models.
Erick emphasized that the deal formed part of a broader negotiation framework following the US imposition of a 32 percent tariff on Indonesian imports.
US President Donald Trump postponed the enforcement of the tariff, which his administration has characterized as a “reciprocal” measure, but he warned in a letter addressed to President Prabowo Subianto on Monday that the 32 percent rate would be applied on Indonesian goods shipped to the US starting Aug. 1.
Erick said Garuda Indonesia and state-owned oil and gas giant Pertamina supported the government’s trade talks with Washington.
