Following are heavily edited excerpts from
a current report in The New York Times:
The Federal Aviation Administration’s decision to limit Boeing’s production of 737 Max planes could hurt airlines that are struggling to buy enough new aircraft.
Boeing hoped 2024 would be the year it would significantly increase production of its popular Max jets. But less than a month into the year, the company is struggling to reassure airline customers that it will still be able to deliver on its promises.
That’s because the Federal Aviation Administration said on Wednesday that it would limit the plane maker’s output until it was confident in Boeing’s quality control practices. The directive is another setback for Boeing, which had been planning to increase production of its Max plane series to more than 500 this year, from about 400 last year. It also planned to add another assembly line at a factory in Everett, Wash., a major Boeing production hub north of Seattle.
As part of the F.A.A.’s announcement on Wednesday, it also approved inspection and maintenance procedures for the Max 9. Airlines can return the jets to service once they have followed those instructions. United Airlines said on Thursday that it could resume flying some of those planes as soon as Friday.
The move is another potential blow to airlines. Even though demand for flights came roaring back after pandemic lockdowns and travel restrictions eased, the airlines have not been able to take full advantage of that demand. The companies have not been able to buy enough planes or hire enough pilots, flight attendants and other workers they need to operate flights. A surge in the cost of jet fuel after Russia invaded Ukraine also hurt profits.
While the F.A.A.’s decision to limit production doesn’t help, Boeing was also struggling to increase production for another reason — it and its suppliers have not been able to replace all the workers who were laid off, retired or quit during the pandemic. Finding new skilled workers has been hard, and it is taking longer to train them, said Christopher Raite, a senior analyst at Third Bridge, a research firm. “The labor base just isn’t there.”
Boeing has two models of Max planes in production, the Max 8 and Max 9, and two other versions, the Max 7 and Max 10, which are awaiting approval from the F.A.A. before any can be flown.
