Boeing may pause B737MAX production
Boeing may pause B737MAX production
During this morning’s quarterly conference call, Boeing President and CEO Denis Muilenburg did not hesitate to talk about a possible B737MAX production stop. At least this is one of the possible scenarios if the ban is extended until 2020.
EASA
Remember that EASA has put five conditions for the return of the Boeing 737MAX to service. The scale of the necessary modifications suggests a return to flight in the second half of 2020, not before. The complete shutdown of Boeing 737MAX production will result in tens of thousands of layoffs. Several B737MAX providers are at risk of bankruptcy.
Buy talking about the shutdown of the MAX mow, Boeing may be trying to influence the American political apparatus. The damaging consequences of this interruption are such that it will have an impact on the entire US economy. No doubt that the MAX will be one of the issues of the 2020 presidential election. Unfortunately for Boeing, the EASA decision is not linked to this political agenda.
More than one problem
“A misfortune never comes alone” as the saying goes, and in the case of Boeing it’s true. Management has announced that the first flight of the B777X will be delayed due to engine problems. The B777X, which is an updated version of the B777, is now almost a year late.
For the moment, only the B787 program is running at full speed in the commercial aircraft division. In order to compensate for losses related to the MAX, Boeing will have to find a way to deliver more Boeing 787. For that she will have to sell more, but at what price? Definitely, there will be other negative quarterly results for Boeing.
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