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Boeing deliveries drop by half in March due to increased quality checks
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Boeing deliveries drop by half in March due to increased quality checks
Apr 9, 2024 8:30 AM

April 9 (Reuters) - Boeing ( BA ) said on Tuesday it had

delivered 29 airplanes in March, down more than half from the 64

delivered in the same month a year ago, as 737 MAX production

slipped on increased quality checks and audits by regulators.

Boeing ( BA ) has said it is producing fewer MAX single-aisle jets

to improve manufacturing quality after the Jan. 5 mid-air

blowout of a door plug on a 737 MAX 9 jet brought the U.S.

planemaker under increased scrutiny from regulators.

Reuters reported earlier this month that Boeing's ( BA ) monthly

output rate fell as low as single digits in late March, well

below a Federal Aviation Administration-imposed (FAA) cap of 38

jets a month.

During the first three months of 2024, Boeing ( BA ) handed over 83

airplanes to customers, including 66 MAX jets, the company said,

down from a total 130 airplane deliveries during the first

quarter of 2023.

"We're deliberately going to slow to get this right," Boeing ( BA )

Chief Financial Officer Brian West told a Bank of America

conference last month. "We are the ones who made the decision to

constrain rates on the 737 program below 38 per month until we

feel like we're ready."

Boeing ( BA ) said it delivered eight MAX jets to Chinese operators

in March. China resumed MAX deliveries in January.

Boeing's ( BA ) European rival Airbus delivered 142

aircraft in the first quarter of 2024, up 12% from the same

period last year, Reuters reported earlier this month, citing

industry sources.

Boeing ( BA ) also said on Tuesday it had taken 113 new orders in

March, boosted by a deal for 85 737 MAX 10 jets from American

Airlines ( AAL ), which also ordered planes from Airbus and

Embraer ( ERJ ). That brings Boeing's ( BA ) gross order total so

far this year to 131.

After removing cancellations and conversions, Boeing ( BA ) posted

a net total of 126 orders since the start of 2024.

After further accounting adjustments to reflect the quality

of the backlog, Boeing ( BA ) reported adjusted net orders of 125

airplanes so far this year.

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