Boeing Set to Resume Widebody Jet Deliveries to China After Regulatory Review

Boeing is poised to restart deliveries of its widebody jets to China, resuming operations that were temporarily halted due to a regulatory review by the Civil Aviation Administration of China (CAAC), a source familiar with the situation reported. The review, which focused on the batteries used in the 25-hour cockpit voice recorders, had put a stop to the deliveries of Boeing’s popular 777 and 787 models.

The resumption marks a significant step for Boeing, as the company had previously informed investors of the delay, which was first reported by Reuters in May. According to the source, Boeing is expected to begin these deliveries in the coming days, with the 737 MAX deliveries anticipated to restart as early as next month.

This development serves as a vital boost to Boeing, which has faced several challenges recently, including factory disruptions and delivery delays. These issues led Boeing’s CFO, Brian West, to predict in May that the company’s second-quarter cash burn could match or possibly exceed the $3.9 billion recorded in the first quarter of the year.

As of the end of 2023, Boeing reported having about 140 737 MAX 8 aircraft in its inventory, with 85 designated for customers in China. Despite the regulatory challenges, Boeing managed to deliver 22 aircraft to China from the beginning of 2024 through the end of April.

The delay in deliveries, initially triggered by the Chinese regulatory review, had impacted Boeing’s overall commercial jet deliveries, which were not expected to increase in the second quarter compared to the first three months of the year.