Boeing Faces Production Challenges as Deliveries Remain Far Behind Airbus
Boeing is expected to report a significant shortfall in aircraft deliveries for 2024, producing less than half the number of planes its main competitor, Airbus. Analysts project that Boeing will deliver approximately 340 aircraft, compared to Airbus's 766, when Boeing releases its figures on Tuesday.
The reported shortfall comes after a tumultuous year for Boeing, characterized by multiple setbacks, including a mid-air incident involving a door panel and a tragic crash of a 737-800 in South Korea, which resulted in the loss of 179 lives. These events have cast a shadow over the company's recovery efforts under new CEO Kelly Ortberg, who was appointed in July.
Boeing is currently aiming to increase production of its 737 Max jets, setting a target of producing 38 planes per month by May 2025. However, experts have raised skepticism about this target, with some suggesting it is overly optimistic. Analysts have pointed out that Boeing has not yet demonstrated the capability to meet its production goals while ensuring safety and maintaining regulatory compliance.
Meanwhile, Airbus also faced challenges in supply chain management, narrowly missing its adjusted delivery target for 2024. Despite the difficulties, Airbus CEO Christian Scherer expressed confidence that the company would soon surpass its previous production records.
As both manufacturers navigate a competitive and challenging aerospace market, the outcome of their production strategies will be closely watched by industry analysts and stakeholders.
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