The move would pressure GE, as its aviation division is one of its strongest performers.
After hitting $40 in October 2007, GE’s stock dropped to $6.75 in December 2018 amid woes in its power and finance units and excessive corporate spending.
The shares have rebounded as Chief Executive Larry Culp has engineered a turnaround.
The White House wants to keep CFM International, a joint venture of GE and France’s Safran (SAFRY) , from exporting more of its Leap 1C jet engines to China, people familiar with the matter told The Wall Street Journal.
The Asian nation is using the engines as it develops the Comac C919 plane, which is years behind schedule.
The Trump administration worries that China could reverse-engineer the CFM engines and then make them itself, according to the Journal. That could boost China’s exports.
The White House also hopes to undermine development of China’s new jet, the sources said. China wants the plane to compete against Airbus's (EADSY) - Get Free Report and Boeing’s (BA) - Get Free Report narrow-body planes.
GE is trying to dissuade the administration from acting, the sources said. GE officials weren’t immediately available for comment.
GE shares at last check stood at $12.76, off 0.6%.
The author of this story owns shares of GE.