Boeing Delivers 787 Dreamliner to Chinese Airline, Opening Possibility for 737 Max Deliveries

Boeing has handed over a 787 Dreamliner directly to a Chinese airline for the first time since November 2019, marking a significant milestone that could potentially lead to deliveries of the manufacturer’s bestselling jet, the 737 Max. The Boeing 787-9, destined for privately owned Juneyao Airlines, departed from Boeing’s factory in Everett, Washington, and is headed to Shanghai. The last new delivery of a Boeing 787 to a Chinese airline was in 2021 through a leasing company.

This delivery comes as China’s pause on pending deliveries of the Boeing 737 Max approaches its fifth year. China grounded the jet in March 2019 following the second fatal crash in five months. Other countries followed suit, but the U.S. lifted its ban in 2020, and other nations have since done the same. Boeing has been working to increase production and deliveries of new jets, as this is when manufacturers receive the majority of an airplane’s price.

About one-third of Boeing’s inventory of approximately 250 Max planes is allocated to Chinese airlines, according to Jefferies. Some of the other Maxes have been remarketed to other carriers.

Conclusion

The delivery of a Boeing 787 Dreamliner to a Chinese airline signifies a positive development for Boeing, as it opens up the possibility of future deliveries of the 737 Max. With China being a significant market for Boeing, this milestone is a step towards recovering from the grounding of the 737 Max and increasing production and deliveries of new jets.