Boeing plans to increase the monthly production rate of the 737 MAX from 31 to 38 by mid-2023, as it seeks to increase the positive cash flow into the company.
According to reports by Bloomberg citing people familiar with the matter, the Original Equipment Manufacturer (OEM) is planning a 38-monthly rate for the 737 MAX by mid-2023 and has been briefing its customers about the increasing production rate.
Prior to the 737 MAX groundings that lasted between March 2019 and November 2020 in the United States (US), the OEM built 52 aircraft of the type per month. Furthermore, in March 2023 Stan Deal, the Executive Vice President of Boeing and the Chief Executive Officer (CEO) of Boeing Commercial Airplanes (BCA), said that production rates of the 737 MAX would be ramping up “very soon”.
In 2022, Boeing managed to achieve a positive cash flow for the first time since 2018, ending the year with an operating cash flow of $3.5 billion. In 2018, that figure was $15.3 billion.
A further boost to the 737 MAX program came with the resumption of services with the aircraft type in China, as China Southern Airlines began commercial operations with the narrow-body jet in January 2023. Other airlines have also reintroduced the 737 MAX into their fleets in the country, with a total of nine airlines now flying the type, according to ch-aviation.com data.
However, the 737 MAX-7 and MAX-10 are still not certified to fly, which is also hampering the number of aircraft Boeing can deliver. Stan Deal has previously stated that the 737 MAX-7 should be certified during 2023.
In 2022, Boeing delivered a total of 374 737 MAX aircraft, as compared to 241 deliveries in 2021.