Boeing stock pops again as demand for new aircraft continues to accelerate. On Tuesday, shares of Boeing (BA) rose 3.5% to $234.83 after Korean Air announced a massive 103-plane order that effectively doubles its Boeing fleet. The deal is worth an estimated $20 billion at list prices and underscores why jet orders are soaring across the commercial airline industry in 2025.

The Korean Air Deal

The order comprises 20 Boeing 777 passenger jets, 25 Boeing 787 Dreamliners, 50 Boeing 737 narrow-body aircraft, and eight 777 freighters. Korean Air CEO Walter Cho called the agreement a “pivotal moment” in the airline’s modernization strategy. Korean Air currently operates 108 Boeing aircraft and approximately 50 Airbus jets, meaning this deal will almost double its Boeing fleet size.

For Boeing, this contract adds to its already massive unfilled order book—more than 6,500 planes globally, with just under 6,000 considered backlog under official accounting standards.

Why Jet Orders Are Soaring in 2025

• Post-pandemic recovery: Passenger traffic has returned to above 2019 levels, prompting carriers to refresh their fleets.
• Fleet modernization: Airlines like Korean Air are retiring older, less efficient planes in favor of next-generation models.
• Cargo demand: Freighter sales remain strong thanks to global e-commerce growth.
• Competition with Airbus: Airlines are balancing Boeing and Airbus orders to ensure their delivery pipelines remain flexible.

GE Aerospace’s Role

All the jets in the Korean Air deal will be powered by GE Aerospace (GE) engines. While Boeing stock gained, GE shares were relatively flat. For GE, the order represents years of service and maintenance revenue in addition to initial engine sales.

The Challenge Ahead: Production Capacity

Boeing’s problem is less about demand and more about supply chain issues. The company is currently capped at producing 38,737 MAX jets per month, the FAA’s allowed limit. Management hopes to increase to 42 per month by year-end. Even at that pace, Boeing faces over a decade of backlog at current build rates.

Investors remain cautiously optimistic, as Boeing stock is up approximately 28% year-to-date, reflecting confidence in improving quality and gradual production growth.

Takeaway for Traders

The Korean Air deal confirms that jet orders are soaring, but the stock reaction was modest compared to the size of the order. That’s because investors know Boeing already has years of production locked in. For active traders, the key is watching production updates, FAA clearances, and delivery rates, rather than focusing on order headlines.