Aircraft
Despite Production Fault, Boeing Maintains Max Rate Guidance
Boeing still expects to raise 737 Max delivery rates to 38 per month by year-end.
Boeing 737 Max production line in Renton, Washington.
Boeing's 737 factory in Renton, Washington, will see a surge in production late this year while the company copes with the dual challenges of fixing defects and clearing an inventory of 225 airplanes. (Photo: Gregory Polek)

Boeing expects to increase deliveries of 737 Max narrowbodies from 31 per month to 38 by the end of the year, allowing it to maintain its projection of 400 to 450 annual deliveries of the troubled jet despite recently discovered production problems associated with Spirit Aerospace-supplied tail sections. Speaking during Boeing’s first-quarter earnings call on Wednesday, company CEO David Calhoun conceded that the problem will affect customers’ plans for airplanes they expected to arrive this summer but added that he has seen “steady progress” with the work required to resolve the quality issue.

Earlier this month, Spirit notified Boeing of what it called a nonstandard manufacturing process used during the installation of the fittings, creating the potential of noncompliance with required specifications. For Boeing, the most recent snag involving the Max again complicates its efforts to accelerate production, but Calhoun expressed optimism about a recovery later this year.