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Published on Tuesday, December 17, 2019

Boeing to suspend 737 MAX production in January







Boeing will temporarily stop production of its troubled 737 Max airliner in January.

Its shares fell more than 4% amid speculation the airline was going to announce a production suspension.

In a statement yesterday, it said the decision is 'least disruptive to maintaining long-term production system and supply chain health'.

"This decision is driven by a number of factors, including the extension of certification into 2020, the uncertainty about the timing and conditions of return to service and global training approvals, and the importance of ensuring that we can prioritise the delivery of stored aircraft. We will continue to assess our progress towards return to service milestones and make determinations about resuming production and deliveries accordingly," it said.

"As we have throughout the 737 MAX grounding, we will keep our customers, employees, and supply chain top of mind as we continue to assess appropriate actions. This will include efforts to sustain the gains in production system and supply chain quality and health made over the last many months."

Production of the jet had previously continued despite the 737 MAX being grounded for nine months after two fatal crashes.

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