Boeing reportedly is increasing the volume of 737 MAX deliveries to Chinese buyers, and effectively reducing the order backlog of 737 MAX aircraft, with nine of the twin-engine aircraft delivered during August. That figure would represent the highest monthly total for 737 MAX deliveries to China since 2018.
The new figure was reported by Bloomberg, and Boeing has not yet announced its August 2024 orders and deliveries totals.
According to Bloomberg’s analysis of Boeing’s current 737 MAX inventory, 64 aircraft are still waiting to be delivered to Chinese customers. The deliveries depend on the airlines’ authorization to add the new aircraft to their operating fleet, the analysis noted.
The narrowbody 737 MAX is Boeing’s top-selling commercial jet, but the source for some of its most pressing financial troubles based on a series of quality and certification issues since 2019.
The problems surrounding the 737 MAX program over the past five years have resulted in a significant backlog of completed aircraft awaiting delivery to customers – and the lack of revenue from deliveries have impacted Boeing’s earnings during recent years. In particular, deliveries to Chinese airlines have been slowed by regulators in that country delaying approval for the redesigned flight-control program put in place after the 737 MAX grounding in 2019-20.
After Boeing identified and resolved the problem that caused two 737 MAX crashes and led to the grounding, regulators everywhere except China had approved the aircraft to resume service by mid-2021. The Civil Aviation Administration of China (CAAC) delayed its approval until 2022, and still new deliveries of all Boeing aircraft to China were blocked until 2023. Chinese officials had apparently used the suspended deliveries as a bargaining point in U.S. trade relations.
At the end of 2023, Boeing listed 119 outstanding orders for 737 MAX aircraft for customers in China, and 12 unfilled orders for 787 Dreamliner customers in that country.
While the regulatory issues had been overcome earlier this year, in April CAAC again suspended deliveries of all Boeing aircraft and called for a regulatory review of the 25-hour lithium batteries powering cockpit voice recorders, which the aircraft builder had adopted in 2022.
