Boeing considers cutting production of 737 Max: Report
US aviation company Boeing may cut production of the grounded 737 Max jet or temporarily stop making it after being told that its timetable for a return to the skies was not realistic, according to a published report Sunday.
The Wall Street Journal reported that Boeing’s board would consider the moves at a meeting that began Sunday and would run into Monday. The newspaper, citing people it did not identify, said management is increasingly seeing production cuts as a viable option.
The company repeated a previous statement that it continues to work with the US Federal Aviation Administration and global regulators on the Max, which was grounded in March after deadly crashes in Indonesia and Ethiopia that killed a total of 346 people.
The report came just days after a senior FAA official told legislators that Boeing is pushing for an unrealistically quick return of the Max and that there is a perception the company is pressuring the regulator.
The grounding of the Max is costing Boeing and airlines billions. Boeing has been eager to signal that the plane could soon fly again. Recently, the company said it expected the FAA to permit shipments of new Max jets in December and approval of a pilot-training program for airlines in January.
Boeing is waiting for the FAA and other regulators to sign off on changes to flight control software that was a major factor in the two crashes.
The company has already cut production to 42 jets a month, from 52 a month.
Production cuts could result in layoffs at the plant near Seattle that could help Boeing control its expenses as it waits for the FAA and other regulators to let the Max back into the air.
Companies that supply parts to the plane also may have to cut production.
A halt in production would signal the plane's grounding could last longer than previously thought.
Though the MAX has not flown for nine months following the fatal crashes, Boeing has continued production, accumulating months' worth of airplanes.
Global regulators ordered a halt to MAX flights following the deadly Lion Air crash of October 2018 in Indonesia and the Ethiopian Airlines disaster in March, which together killed 346 people.
Boeing and the FAA have been under intense scrutiny for their responses to issues with the aircraft, including the flight-handling system involved in both accidents, the Maneuvering Characteristics Augmentation System, or MCAS.
(Source: Agencies)
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