Boeing has announced plans to open an assembly plant in China while also confirming the sale of 300 aircraft to the country worth $38bn at current list prices.
The facility will be set up in partnership with state-owned Commercial Aircraft Corporation of China (Comac) and will assemble and paint 737 aircraft manufactured in the US.
Boeing said the aircraft order consists of 250 narrowbodies and 50 widebodies.
The announcements coincided with a visit to the US by China's President Xi Jinping, who toured Boeing's Washington state facility on Wednesday (September 23).
Boeing has also played down fears by members of the Machinist Union over the potential loss of work in the US to China.