Boeing to Cut Widebody Aircraft Production Due to COVID-19 Crunch
Boeing (NYSE: BA) said Wednesday it intends to cut production of its once hot-selling 787 Dreamliner and other twin aisle planes, responding to a dramatic decline in travel demand due to the COVID-19 pandemic.
Boeing will reduce 787 production to a rate of 10 per month in 2020, from 14, and is forecasting seven per month by 2022, while also reducing production on its 777 line to three per month by 2021. The 737 MAX is currently grounded, but assuming it is cleared to resume flying in the second half of 2020, Boeing intends to resume production at a low rate in 2020 and gradually increase to 31 planes per month in 2021.
Prior to its 2019 grounding, Boeing had envisioned a 737 MAX production rate as high as 57 planes per month.
Source Fool.com
