Boeing plans to push production of its bestselling 737 narrowbody jet to a record of at least 57 per month by July 2025. The goal would hit the planemaker’s unmet target from several years ago, which was scuttled in 2019 when the 737 MAX was grounded globally following two deadly plane crashes.
The Boeing 737 is the world’s best-selling jetliner, with more than 3,400 orders and 1,500 pending orders for the next-generation MAX model. The 737 MAX is a larger version of the popular twin-engine airliner with more significant engines and other improvements, including increased efficiency. Boeing is also developing the 737 MAX 5 variant with a more extended range and more seats.
A strengthening global economy and airline passenger traffic increase demand for the 737. The 737 is popular with low-cost carriers that seek to reduce costs and offer low airfares, as well as by legacy airlines that want to expand their fleets with more efficient planes.
Boeing, which has a reputation for quality, is seeking to boost production of the 737 family to keep pace with demand. It is working to streamline the process and reduce the time it takes to build each aircraft. It takes about 11 days to move a 737 through the factory, from receiving parts to completion. Boeing’s 737 program director, Jeff Loftis, wants to cut that time to eight days.
In addition to speeding up the assembly line, Boeing is introducing lean manufacturing methods to its Renton plant. Boeing’s three 737 production lines will eventually collapse into two and will produce 28 aircraft each month, the highest rate ever for the popular twinjet. The company can produce that many because it has eliminated the older “classic” series of jets from its production schedule and focused on the larger following generation models.
As the 737 MAX returns to market, Boeing expects its order volume to increase. It has also added an upgrade package to the jetliner, including new cabin features such as larger baggage bins. Airline passengers are willing to pay extra for comforts such as power outlets at the seatback and more roomy overhead compartments.
The company hopes that the faster production rates will help it better compete with Airbus (AIR.PA), the European manufacturer expanding production of its A320 planes to meet rising demand. Boeing also faces competition from domestic rivals like Bombardier in Canada, Comac in China, and Irkut in Russia, which are developing 737 competitors.
