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Despite new reports that the Federal Aviation Administration is investigating potential defects in Boeing’s 787 Dreamliner production, global recertification of the 737 MAX must remain Boeing’s priority.
According to Boeing, the 737 MAX accounts for about 80% of unfilled orders, while the 787 only accounts for about 10%. In the context of an uneven post-COVID-19 recovery where demand for narrow-body aircraft is likely to recover more quickly, the need for Boeing to recertify its main narrow-body product is evident.
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The current crisis has significantly disrupted the entire commercial aerospace industry and a recovery is not anticipated in the near term, with the prospect of a lost decade for air passenger growth increasingly likely.
Additionally, even in Boeing’s wide-body offerings, there are alternative offerings that will likely align more closely with the demands of the post-COVID-19 market.
The 777X, despite first deliveries being delayed until 2022, is being billed as an advance of the 787 and one of the most efficient products on the market. This aligns with the growing demand for carbon liability in the commercial aerospace industry.
Regulations such as the International Civil Aviation Organization’s CO2 emission standards encourage airlines to integrate newer and more efficient models into their fleet. This makes the 777X a key product for the future.
