1.
Will Boeing Have to Outsource
Production to Remain Profitable?
By www.ProfitableInvestingTips.com

2.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
The evolving trade war between the USA
under Trump and everyone else is having
unexpected consequences.

3.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
We just wrote about Harley Davidson
moving production out of the USA.

4.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
No matter that Harley is an American icon.
It is not a huge company.

5.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
How about the leaders of American
industry that are also the biggest US
exporters?

6.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
The question we are going to consider is
this.

7.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
Will Boeing have to outsource production
to remain profitable?

8.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
A good article on CNN looks at the top US
exports.

9.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
Yes, the nation’s businesses and consumers
spent $566 billion more on imported goods
and services in 2017 than the United States
sold in exports.

10.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
But American companies still sold $2.3
trillion in goods and services to foreign
businesses and consumers.

11.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
The top US exporters are these according to
the CNN article.

12.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
Food, beverage and feed: $133
billion. Soybeans were the number one
product in this category, with sales of $22
billion, followed by meat and poultry at
$18 billion.

13.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
Crude oil, fuel and other petroleum
products: $109 billion. This is one of
the fastest growing areas of US exports, up
37% in just the last year.

14.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
Civilian aircraft and aircraft
engines: $99 billion. This is what
makes Boeing (BA) the nation’s largest
single exporter.

15.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
Auto parts, engines and car tires:
$86 billion. Many of these are shipped to
assembly plants owned by both US and
foreign automakers in Mexico and
Canada.

16.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
A single company, Boeing, constitutes the
vast majority of aircraft and engines
exported by the USA.

17.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
It is in third place behind all of US
agricultural products and all of the gas and
oil exporting business when measured by
export dollars.

18.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
What happens if Boeing gets caught up in
Trump’s trade war?

19.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
Will Boeing have to outsource production
to remain profitable?

20.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
How Does Boeing Make
Money?

21.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
Boeing makes money in defense and space
systems.

22.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
But, two thirds of its revenue comes from
commercial airplanes.

23.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
And a substantial portion of its commercial
airplane business relies of foreign sales.

24.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
Will Boeing Have to Outsource
Production to Remain
Profitable?

25.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
Boeing is already building a plant in
China. Forbes noted this in a 2015
article, Boeing To Build Its First
Offshore Plane Factory in China.

26.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
Facing severe pressure from state-
subsidized foreign competitors and the end
of federal export financing, Boeing has
decided to throw in the towel.

27.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
After a hundred years of producing its
commercial aircraft exclusively in the U.S.,
the nation’s largest exporter will build its
first offshore aircraft plant in China.

28.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
This facility will primarily be used to finish
off interiors of commercial jets.

29.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
Boeing maintains its position at the top of
the commercial airline business because it
guards its technical secretes, especially in
the business of producing jets.

30.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
Thus it does not want to ship valuable
technological expertise to other countries.

31.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
But, if the choice is to lose perhaps a third
of their business, Boeing may have to
outsource production of more high tech
parts in order to remain profitable.

32.
http://profitableinvestingtips.com/stock-investing/will-boeing-have-to-outsource-production-to-remain-profitable
This may be the price Boeing has to pay to
avoid being chewed up in Trump’s trade
war.