China To Place Huge Boeing Order

Chinese state airlines will sign a contract and letter of intent Thursday to buy $3 billion worth of Boeing Co. airplanes. The business deal is the biggest associated with Chinese President Jiang Zemin’s visit to the United States this week.

Zeng Peiyan, executive vice chairman of China’s State Planning Commission, said a Chinese trade mission to the United States that began last week involved a total of $4.26 billion in commercial agreements, but not all of them were completed.

Commerce Secretary William Daley will witness the signing of the Boeing contracts during a ceremony Thursday in Washington, a day after Jiang meets with President Clinton at the White House.

Rich Brecher, vice president of the U.S. China Business Council, said the Chinese also signed other energy development and commercial deals.

Arco Corp. entered an agreement with China to explore and develop a natural gas field in the South China Sea in the Ledong field, he said.