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Boeing 737 Production Bounces Back

Photo: (Boeing)

 

Overcoming its supplier bottlenecks, Boeing delivered 48 narrowbody 737s in August, compared to just 29 deliveries in July – one of the lowest monthly production levels for years.

The Chicago-based firm said it was continuing to make “good progress” in resolving supplier issues by the end of this year, and it expects 737 production to increase from 52 per month to 57 per month in 2019. By comparison, in August 2017 the company  delivered 50 737s.

Boeing previously stated that deliveries would be lower in the third quarter of 2018 and pick up again in Q4 due to the well-documented production problems. Despite this, the company told analysts who visited their Renton plant in August that the firm still expected to achieve their full year target of between 810 and 815 deliveries.

Primary external suppliers involved in 737 production include CFM (a Safran and GE joint venture), and Spirit AeroSystems who produce the fuselages. Philippe Petitcolin, Safran chief executive, commented that the “unprecedented” increase in demand from the two aeroplane makers [Boeing and Airbus] had put his company under pressure.

Across the entire product lineup, Boeing delivered a total of 64 aircraft in August, an increase from the 39 July deliveries. The aerospace giant said its net orders for 2018 to to the end of August totalled 581 aircraft, including 90 orders in August alone for 737 family variants from unidentified customers and leasing companies.

Elsewhere, arch-rival Airbus this week posted 219 net orders for the January to August period, including five in August itself.  The company said in the first eight months of this year it has delivered 349 single-aisle aircraft, including five A220s.

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