Picture credits: US Department of Commerce
Washington D.C: Korean Air finalized a commercial agreement with Boeing and GE Aerospace valued at approximately $32 billion on Friday, 21 March, 2025.
The deal includes the purchase of 20 Boeing 777-9 and 20 Boeing 787-10 aircraft, with options for ten additional planes. Additionally, the airline will acquire eight spare GE engines and related maintenance services worth $7.8 billion.
The agreement is part of Korean Air’s long-term fleet modernization strategy, aimed at enhancing operational efficiency and expanding its international network. The airline expects to receive 40 widebody aircraft by 2033, with the formal binding contract expected to be signed soon.
During the signing ceremony, U.S. Secretary of Commerce Howard Lutnick highlighted the significance of the deal, stating: “Today’s announcement illustrates the global recognition of American aerospace manufacturing and innovation. Our skilled workforce at industry leaders like Boeing and GE Aerospace continues to contribute to the advancement of the aviation sector.”
South Korea’s Minister of Trade, Industry, and Energy, Ahn Duk-geun, also underscored the agreement’s impact, saying: “This cooperation in the aircraft and aircraft engine sectors has played a key role in Korean Air’s development as one of the world’s leading airlines. This agreement will further enhance the exchange of goods and people between Korea and the United States.”
Boeing President and CEO Kelly Ortberg expressed appreciation for the partnership, stating: “We are proud to support Korean Air’s fleet expansion with our latest-generation aircraft. This agreement reflects the airline’s confidence in Boeing’s commitment to delivering efficient, advanced, and reliable airplanes.”
Russell Stokes, President and CEO of Commercial Engines and Services at GE Aerospace, also commented on the deal: “We value Korean Air’s trust in our technology and look forward to supporting their fleet modernization. Our collaboration will ensure the airline continues to operate with the highest levels of efficiency and performance.”
Korean Air had previously signed a Letter of Intent with Boeing for these aircraft during the Farnborough Air Show in July 2024. The airline currently operates a growing fleet of Boeing widebodies, including six 787-10s, with additional deliveries expected in the coming years. It also operates several 777 variants and continues to expand its long-haul capabilities with fuel-efficient aircraft.
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