Boeing May Suspend 737 MAX Production if Groundings Continue
Boeing may have to temporarily shutter its 737 production line if the grounding of its 737 MAX aircraft drags on, the company's CEO said Wednesday.
Dennis Muilenberg said during Boeing's second-quarter earnings call that he expects the global MAX fleet will return to service early in the fourth quarter of this year. If that timeline holds, he said the company will be able to maintain its current production rate of 42 737 MAX airframes per month and could eventually increase that output to 57 per month in 2020. But, he admitted, if the fleet remains grounded for longer than currently anticipated, production may have to be suspended in order to alleviate the backlog.
With the grounding, Boeing has been unable to deliver finished MAXes as they come off the production line. The backlog has grown to the point where Boeing has had to resort to storing jets in its employee (car) parking lots while waiting for the grounding orders to be lifted.
Related: See All of TPG's Boeing Coverage
The manufacturer's workhorse narrow-body jet has been grounded since March following the second of a pair of overseas accidents that —combined — left 346 dead.
An automated flight control system known as MCAS is suspected of contributing to both disasters. Boeing has been working with regulators, airlines and other stakeholders to address the issue since March, but progress has been slower than originally anticipated.
In the US, for example, the three US airlines that have MAXes in their fleets have had to continually update their schedules to account for the prolonged absence of the MAX.
Related: Southwest Has Suspended 13 Routes Since Grounding of Boeing 737 MAX
Southwest, which has most MAXes in its fleet of any airline in the world, has currently removed the jet from its schedules through Nov. 2. as has American. United has done so through Nov. 3.
Passengers have not been hit by sudden cancellations since those airlines have preemptively taken the MAX flights off their schedules as the grounding has dragged on. But the grounding has affected passengers' flight options. American confirmed in July that suspended its nonstop service between Oakland and Dallas-Fort Worth because of the MAX grounding. Southwest has temporarily halted 13 nonstop routes because of the grounding, the airline confirmed to TPG earlier this month.
TPG featured card
at American Express's secure site
Terms & restrictions apply. See rates & fees.
| 3X | Earn 3X Miles on Delta purchases. |
| 1X | Earn 1X Miles on all other eligible purchases. |
Pros
- Delta SkyClub access when flying Delta
- Annual companion ticket for travel on Delta (upon renewal)
- Ability to earn MQDs through spending
- Various statement credits for eligible purchases
Cons
- Steep annual fee of $650
- Other Delta cobranded cards offer superior earning categories
- Earn 100,000 Bonus Miles after you spend $6,000 or more in purchases with your new Card within the first 6 months of Card Membership and an additional 25,000 bonus miles after you make an additional $3,000 in purchases on the Card within your first 6 months, starting from the date that your account is opened. Offer Ends 04/01/2026.
- Delta SkyMiles® Reserve American Express Card Members receive 15 Visits per Medallion® Year to the Delta Sky Club® when flying Delta and can unlock an unlimited number of Visits after spending $75,000 in purchases on your Card in a calendar year. Plus, you’ll receive four One-Time Guest Passes each Medallion Year so you can share the experience with family and friends when traveling Delta together.
- Enjoy complimentary access to The Centurion® Lounge in the U.S. and select international locations (as set forth on the Centurion Lounge Website), Sidecar by The Centurion® Lounge in the U.S. (see the Centurion Lounge Website for more information on Sidecar by The Centurion® Lounge availability), and Escape Lounges when flying on a Delta flight booked with the Delta SkyMiles® Reserve American Express Card. § To access Sidecar by The Centurion® Lounge, Card Members must arrive within 90 minutes of their departing flight (including layovers). To access The Centurion® Lounge, Card Members must arrive within 3 hours of their departing flight. Effective July 8, 2026, during a layover, Card Members must arrive within 5 hours of the connecting flight.
- Receive $2,500 Medallion® Qualification Dollars with MQD Headstart each Medallion Qualification Year and earn $1 MQD for each $10 in purchases on your Delta SkyMiles® Reserve American Express Card with MQD Boost to get closer to Status next Medallion Year.
- Enjoy a Companion Certificate on a Delta First, Delta Comfort, or Delta Main round-trip flight to select destinations each year after renewal of your Card. The Companion Certificate requires payment of government-imposed taxes and fees of between $22 and $250 (for itineraries with up to four flight segments). Baggage charges and other restrictions apply. Delta Basic experiences are not eligible for this benefit.
- $240 Resy Credit: When you use your Delta SkyMiles® Reserve American Express Card for eligible purchases with U.S. Resy restaurants, you can earn up to $20 each month in statement credits. Enrollment required.
- $120 Rideshare Credit: Earn up to $10 back in statement credits each month after you use your Delta SkyMiles® Reserve American Express Card to pay for U.S. rideshare purchases with select providers. Enrollment required.
- Delta SkyMiles® Reserve American Express Card Members get 15% off when using miles to book Award Travel on Delta flights through delta.com and the Fly Delta app. Discount not applicable to partner-operated flights or to taxes and fees.
- With your Delta SkyMiles® Reserve American Express Card, receive upgrade priority over others with the same Medallion tier, product and fare experience purchased, and Million Miler milestone when you fly with Delta.
- Earn 3X Miles on Delta purchases and earn 1X Miles on all other eligible purchases.
- No Foreign Transaction Fees. Enjoy international travel without additional fees on purchases made abroad.
- $650 Annual Fee.
- Apply with confidence. Know if you're approved for a Card with no impact to your credit score. If you're approved and you choose to accept this Card, your credit score may be impacted.
- Terms Apply.
- See Rates & Fees