On November 13th Boeing announced that it had lost about 200 orders for 737MAX aircraft so far this year because of the bankruptcy of some airlines and the fact that some customers switched to other models of the company. Although Boeing stressed that the March 737MAX global suspension “did not result in direct order cancellations”, in the past 10 months alone, two customers switched to other models, reducing the 737MAX reserve order by 18, with the current total of 4,525 orders in the aircraft reserve.
Boeing received 45 orders for aircraft in October, 11 fewer than the previous month.
Boeing said Monday that it expects U.S. regulators to approve the return to commercial operations in the coming weeks, possibly starting next month with delivery of the 737 MAX aircraft, which has been grounded for months. However, airlines have issued a statement delaying the re-flight schedule of the 737MAX to March next year.
Predictably, Boeing’s orders and aircraft deliveries will be lost to old rival Airbus this year.
In response to the impact of the suspension, Boeing has reduced the production speed of the 737MAX to 42 aircraft per month from 52 previously.
Boeing delivered 321 aircraft in the year to October, down nearly 50 per cent from a year earlier, while Airbus’s deliveries rose 11 per cent to 648 in the first october of this year.
In terms of orders, Airbus has received 542 net orders, compared with minus 90 for Boeing.
Boeing, the world’s largest aircraft manufacturer for seven years, also led Airbus last year in terms of total orders.
On the other hand, Boeing’s acquisition of the commercial aircraft division of Baair Hassan has also been delayed because of the poor progress in its commercial aircraft business.
On November 12th Nelson Salgado, chief financial officer of Air Pakistan Industries, said the Boeing and Baair industrial deals were expected to be delayed until at least March 2020 as European antitrust authorities continued to review the deal.
In January, the Brazilian government announced approval of Boeing’s acquisition of The Commercial Aircraft in Brazil. Under the agreement signed by Boeing and Aerobra, Boeing acquired the commercial airliner and services business of Baair Industries and created a joint venture. Boeing owns 80% of the new company and controls management rights, while Baair Industries owns 20%. In May, Boeing named the Baer Air Industrial Aircraft division “Boeing Brazil Commercial Aircraft”. The deal will be completed by the end of the year, the two sides said.
Nelson Salgado also stressed that the Boeing 737 MAX incident had not affected the deal.