Shares of Boeing fell Tuesday following a report that China has halted the delivery of all its jets to airlines in the country as part of the escalating trade war.

For aerospace, Zhoushan is the latest staging post in a growing U.S.-led trade war. Planemakers, airlines and suppliers are reviewing contracts after Reuters reported that U.S. supplier Howmet Aerospace had ignited a debate over the cost of tariffs by declaring a "force majeure event".