Boeing CEO Surprised by Travel Demand Recovery after Pandemic

Boeing CEO Dave Calhoun expressed optimism about the swift recovery of the aviation industry and the strong surge in travel demand following the COVID-19 pandemic. Calhoun’s remarks came during an interview with CNBC’s “Squawk Box Asia” on September 29, 2023, where he discussed the industry’s resilience and positive implications for aircraft manufacturers, airlines, and consumers.

Calhoun noted that the rebound in demand has been more robust than he had expected, attributing it to pent-up demand for passenger traffic, tourism, and business travel. He emphasized the industry’s resilience and its ability to bounce back from the challenges posed by the pandemic.

He highlighted several positive outcomes of this recovery. Boeing, along with its competitors, benefits from the strong demand, as evidenced by a healthy order book and a pipeline of proposals to meet the demand for new aircraft. Additionally, increased competition among airlines leads to more choices and lower fares for travelers, ultimately benefiting consumers.

Calhoun mentioned that having multiple competitors in the aviation market, including Boeing, Airbus, and China’s Comac, can be viewed as a positive development for the industry. He expressed confidence in Boeing’s products and services and expressed a desire to improve the company’s relationship with China, one of its significant customers.

Boeing has been working to recover from the challenges posed by the COVID-19 pandemic and the grounding of the 737 MAX aircraft. The company resumed deliveries of the 737 MAX in December 2020 after implementing regulatory-approved software and training updates. Boeing reported its first positive yearly cash flow since 2018 in July 2023.

Calhoun emphasized his commitment to restoring Boeing’s operational and financial strength, delivering safe and reliable products, and fostering innovation within the company to meet the evolving needs of its customers, partners, and employees.

Sources: AirGuide Business airguide.info, msn.com, aeronewsjournal.com