Boeing delivered only 13 commercial jets in November, a significant drop from the 56 delivered in November 2023, signaling a slow recovery after a seven-week strike. This figure also represents a slight decrease from the 14 deliveries in October when production was largely halted.
Boeing’s stock price rose 4.5% on Tuesday following the news that 737 MAX production had resumed at the Renton factory. This restart, initially reported by Reuters, involves loading new fuselages into the production line after extensive preparation. The company aims to ramp up 737 production to 38 planes per month to recoup financial losses incurred during the strike and preceding production halt.
However, Boeing faces ongoing scrutiny from the Federal Aviation Administration (FAA) due to a safety incident involving an Alaska Airlines 737 MAX 9 in January. This heightened oversight adds complexity to Boeing’s production ramp-up. Beyond the 737 MAX, Boeing plans to restart production of its 767, 777, and 777X models in Everett in the near future.
While the South Carolina 787 production line remained operational during the strike, only two 787s were delivered in November, highlighting ongoing supply chain challenges. Boeing emphasizes its cautious approach to restarting production, prioritizing quality, safety, and employee training over rapid output increases. This deliberate approach contributes to the lower delivery numbers.
Of the 13 aircraft delivered in November, nine were 737s, two were 777 freighters, and two were 787-9s. United Airlines received two 737 MAX jets and one 787. In comparison, following the conclusion of Boeing’s previous strike in November 2008, the company delivered only four aircraft that month.
In terms of new orders, Boeing secured 49 gross orders in November, including 34 for the 737. However, 14 cancellations were also reported. TUI, a German travel company, canceled 14 MAX orders, opting to lease the aircraft from BOC Aviation instead. This resulted in a net gain of 20 new 737 MAX orders for Boeing.
Year-to-date, Boeing has accumulated 427 gross orders and 370 net orders after accounting for cancellations and conversions. After further adjustments for accounting standards, the net order count stands at 191. In contrast, Airbus, Boeing’s European competitor, delivered over 80 jets in November.
Boeing’s November delivery figures underscore the challenges the company faces in recovering from the recent strike and addressing ongoing production issues. The slow restart, coupled with continued FAA scrutiny and supply chain constraints, suggests a longer road to recovery than initially anticipated. While the resumption of 737 MAX production is a positive step, the company’s performance in the coming months will be crucial in determining its long-term outlook.
