GE Aerospace Resumes Jet Engine Shipments to China Amid Easing Trade Tensions

GE Aerospace (NYSE:GE) is one of the best US stocks to buy and hold in 2025. On July 3, the US government informed GE Aerospace that it could resume shipments of jet engines to China’s Commercial Aircraft Corporation of China/COMAC. The decision signals a de-escalation of US-Sino trade tensions, which also involved concessions from Beijing regarding rare earth exports. This followed the US’s suspended licenses for these shipments several weeks prior as part of an ongoing trade dispute.

The lifted restrictions specifically apply to GE’s LEAP-1C engines, which are manufactured by CFM International (this is a joint venture between GE Aerospace and France’s Safran) and are used on COMAC’s C919 single-aisle aircraft. Additionally, licenses for GE’s CF34 engine, used on COMAC’s C909 regional jet, were also reinstated. The C919, while assembled in China, relies heavily on overseas components.

A technician using advanced radiographic testing equipment to inspect an aircraft.

The US also recently lifted export restrictions on chip design software developers and ethane producers for China, which further indicates progress in trade talks between the two nations. The previous restrictions were among countermeasures imposed by the US President Donald Trump’s administration in response to China’s export restrictions on rare earths and related magnets in April this year. Beijing’s move on rare earths had threatened to derail a bilateral trade deal.

GE Aerospace (NYSE:GE) designs and produces commercial and defense aircraft engines, integrated engine components, electric power, and mechanical aircraft systems.

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Disclosure: None. This article is originally published at Insider Monkey.