DALLAS — Boeing has resumed deliveries of its best-selling 737 MAX jets to China, marking a significant milestone for the American manufacturer. This news comes after a lengthy delay caused by Chinese regulatory reviews.
The resumption of deliveries is a welcome relief for Boeing, which had previously flagged these delays to investors. It's important to note that Boeing is still grappling with a separate safety and quality crisis.
New Boeing deliveries to China have been a rollercoaster ride since 2019. This disruption stemmed from two fatal crashes involving the 737-8 MAX model, coupled with heightened tensions between the U.S. and China on various fronts.
Signs of Progress in 2024
However, 2024 has shown signs of improvement for Boeing. In July, the company confirmed the restart of widebody deliveries to China, with two Boeing 777 freighters delivered to Air China (CA). This move aligned with earlier reports from Reuters.
While widebody deliveries had restarted, single-aisle 737 MAX deliveries remained on hold for Chinese carriers. However, Reuters anticipated a resumption of MAX deliveries as early as July, which has now been confirmed.
Looking Ahead
Boeing's 2023 year-end filings revealed an inventory of roughly 140 737-8 MAX aircraft, with 85 of them earmarked for Chinese customers. This highlights the potential financial gain from a smooth resumption of deliveries.
Furthermore, Boeing estimates a strong demand for new commercial airplanes in China, with airlines likely requiring a staggering 8,830 new planes by 2043.
The resumption of 737 MAX deliveries to China signifies a positive step forward for Boeing.
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