Boeing Trims 737 Production Plans Amidst Ongoing Challenges

Boeing has informed its suppliers that it is delaying a key production milestone for its 737 jet family by three months, according to two industry sources. This decision comes as the company continues to grapple with a crisis that is affecting its production output. The new Boeing supplier schedule communicated to the sources indicates that the target for 737 output to reach 42 units per month has been pushed back from June to September. This delay reflects Boeing's ongoing efforts to address issues and improve the quality of its production processes.

Boeing has been facing significant challenges in recent years, particularly with its 737 MAX aircraft. The company was forced to ground its 737 MAX fleet worldwide in 2019 following two fatal crashes that claimed the lives of 346 people. The aircraft was cleared to return to service in late 2020, but Boeing has since faced scrutiny and additional safety checks.

In response to these challenges, Boeing has been working to improve its production processes and address quality control issues. The company has also faced financial pressures, with reports indicating that it will burn through cash this year and that deliveries of new planes won't improve in the second quarter from the first.

Boeing's decision to delay its production milestone for the 737 jet family by three months is another indication of the company's ongoing efforts to address its production challenges and ensure the safety and quality of its aircraft.