Boeing Readies Supply Chain to Reach Higher 737 Production Targets
Boeing aims to increase annual production of its 737 aircraft to 38 planes per month as the company continues to prioritize stability across its supply chain and manufacturing segments, according to a July 26 earnings call. The aerospace company’s goal is to reach 50 monthly 737 aircraft deliveries by 2025-2026, EVP and CFO Brian West said during the call.
"With demand strong, we still find ourselves in a supply-constrained environment, and our focus continues to be on execution, both within our factories and the supply chain as we steadily increase production.” - Brian West (Boeing CFO)
Boeing has been taking steps to recover its production levels after years of supply issues. In addition to 737 production, which includes 737-7 and 737-10 aircraft, easing supply chain strains enabled Boeing to make progress across its 777X and 777-8F development programs.
Boeing delivered 136 commercial aircraft in total last quarter, 49 of which were in June, West said. Deliveries include 20 787s and 103 737s.
“The supply chain still feels like it’s getting better, a little more stable, a little more coordinated. And we got to keep executing,” - Brian West
This is hopefully an indication of more robust than expected economic resilience globally. As some of the predictions of recession from the end of last year have not played out.
Inflation has begun to ease in recent months too which hopefully bodes well globally.