What should I do if I cannot deliver 737 MAX for Chinese customers?Boeing China response

Author:Global Times Time:2022.09.16

[Global Times-Global Network Reporter Pan Xiaotong] Zero delivery in three years, Boeing faced the 737 MAX model of the Chinese order "difficult to ride tigers". On the 15th, Boeing announced that some of the 737 MAX planes planned to be delivered to Chinese customers will be resold. Boeing (China) Co., Ltd. responded to the Global Times reporter on the 16th and said: "This approach allows us to deliver the aircraft to other customers, and at the same time ensure that we can still deliver the aircraft to Chinese customers when the timing is appropriate."

Blacon West, chief financial officer of Boeing, said at an event on the 15th, "We have postponed how to deal with these aircraft for a long time, but we cannot be delayed without restrictions. Therefore The plane planned to be delivered to Chinese customers. "Boeing CEO Dave Calkhne also said that resurating delivery in China is essential to the future of Boeing, but the prospects for delivering aircraft to China within one or two years are relatively negative.

Because of the two fatal air crash in Indonesia and Ethiopia, the 737 MAX model was included in China on the grounding list in 2019, and has not yet obtained the relevant permission of Fray. Bloomberg said that due to this, Boeing has not delivered a 737 MAX aircraft to Chinese customers since 2019. At present, more than 140 737 MAX planes are parked in the warehouse and waited for delivery, which means that Boeing's about $ 5 billion in cash flows were clamped on these aircraft. Boeing's move is to reduce inventory, revitalize funds, and alleviate the company's debt problems.

Boeing (China) Co., Ltd. exclusively responded to the Global Times reporter on the 16th that China was an important market for Boeing. This year is the 50th anniversary of Boeing entered China. We have been communicating closely with Chinese customer service. At present, the demand for other global markets is very strong. In the context of the current supply chain, our existing inventory provides a kind of flexibility, which enables us to adjust our adjustment. Re -assign existing inventory in production and reducing the risk of delivery. This approach allows us to deliver the aircraft to other customers, and at the same time ensure that the aircraft can still be delivered to Chinese customers when the timing is appropriate. "

Civil Aviation expert Wang Yen told the Global Times reporter on the 16th that the epidemic, supply chain, and geopolitical friction were the reason for the Boeing plan to be resold. The most fundamental reason was the ban on the 737 MAX model in China. In an interview with the Global Times reporter on the same day, civil aviation expert Yan Qi also stated that Sino -US relations and supply chain issues are the surface reasons for the surface. The 737 MAX has not yet resumed to fly. As of now, the 737 MAX's resumed flight has not been formally approved by the Civil Aviation Administration, and the public has also doubted the safety of this model. Therefore, domestic airlines have taken a measure of flight and non -receiving 737 MAX aircraft.

Bloomberg reported that Boeing and Airbus had fiercely competitive in the Chinese aviation market, and Boeing once occupied the dominant position of market share. However, since the two air crash in 2019, Airbus's market share in China has expanded rapidly. At the beginning of July this year, China Eastern Airlines, Air China, and China Southern Airlines purchased a total of 292 A320NEO passenger planes, with a total amount of 37.257 billion US dollars, equivalent to more than 240 billion yuan, setting the largest and highest amount of orders in the three major aviation.

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