Boeing deliveries remain low as 787 problems weigh

In its closely watched monthly report, Boeing said the company delivered 27 737 Max aircraft in January and three wide-body aircraft, including a 777 freighter.

Of the 27 Max deliveries, seven were for Irish airline Ryanair, while China Eastern Airlines received one 777 freighter.

Boeing delivered 38 aircraft in December and 34 in November.

Lower January deliveries reflect a seasonal decline. Boeing delivered 26 aircraft in the same period a year ago.

The 737 Max and the 787 Dreamliner are essential to Boeing’s ability to recover from the pandemic and catch up with Airbus, after losing the delivery race to its European rival for the third year in a row.

After cutting production mainly due to the pandemic, aircraft makers are seeing more demand for medium-haul passenger and freighter planes, and are rushing to ramp up production.

However, the hurdles in Dreamliner production have proven costly to Boeing, as the company incurred $4.5 billion in fees in the fourth quarter and paid fines to customers for delaying deliveries.

Boeing booked 77 orders on a total basis in January, including 55 Max aircraft and 22 freighters. Demand for cargo planes has been a bright spot for the company, as it continued to dominate sales during the e-commerce boom.

Of the freight orders, 14 were from Qatar Airways for the 777-8. The airline last month delivered Boeing an order for 34 new 777X freighters and 25737-10 Max aircraft.

Of the 737 Max’s orders in January, 20 were from unspecified customers, with US carriers American Airlines Group Inc and Southwest Airlines Co making up the remaining 35 orders.

There were two 737 Max cancellations in January, bringing Boeing’s total net orders to 75.

Airbus delivered 30 aircraft in January.

A $600 million contract and safety dispute between Airbus and Qatar Airways deepened Tuesday when the European planemaker canceled orders for two A350-1000s, days after an order from the Gulf airline tore up 50 A321neos.

Qatar Airways has sued Airbus for more than $600 million and is refusing to take delivery of more A350s until its regulator receives a formal analysis of painted surface corrosion and basic lightning protection on 21 planes.

Airbus included the cancellation of 50 A321neos and two A350-1000s in its monthly summary for January, pushing it into negative territory with a net total of minus 16 orders for the month, after receiving 36 new orders.

MI