China Grounds 737 MAX Aircraft
Ethiopian Airlines Flight 302 from Addis Ababa (ADD) to Nairobi, Kenya (NBO) crashed shortly after takeoff Sunday, killing all 157 passengers and crew on board. This was the second crash involving a 737 MAX aircraft in the last few months, and it bears a striking resemblance to the Lion Air crash that killed 189 people in October. Not only were both flights operated by relatively new 737 MAX aircraft, but both crashes occurred shortly after takeoff after the pilots failed to maintain a steady climb. In both cases, weather did not appear to play a role, suggesting the existence of other contributing factors.
Now, Beijing has asked Chinese airlines to ground all 737 MAX aircraft, according to Chinese news organization Caijing. There are currently about 75 737 MAX aircraft in service in China, operated by a number of airlines including Air China, China Eastern, China Southern, Shanghai Airlines, Xiamen Air, Shandong Airlines and Shenzhen Airlines. China Southern is currently the largest Chinese operator of the next-gen 737 MAX aircraft, with 24 in its fleet -- including 4 leased aircraft -- and a total of 50 on order.
The directive has already gone into effect, and currently there are no 737 MAXs flying in China. On many prominent routes, airlines are swapping in older 737 aircraft to operate these flights. China Southern Flight 353 from Guangzhou (CAN) to Singapore (SIN) has been operated almost exclusively by a 737 MAX 8, but today it was operated by a 737-800 instead.

With no indication of how long this order could last, airlines are already adjusting their schedules moving forward. Shanghai Airlines Flight 9374 from Shanghai (SHA) to Xiamen (XMN) has switched from a 737 MAX to a 737-800 for the foreseeable future.

Grounding this many planes is sure to lead to a large number of flight delays and cancellations and overall travel disruptions. If you're scheduled to fly on a Chinese-operated 737 MAX in the near future, make sure to keep an eye on your flight status.
This directive to ground all Boeing 737 MAXs comes while China is working on growing its own aerospace engineering industry. China recently began test flights on the C919, a ~170-seat single-aisle aircraft meant to compete directly with the 737 and Airbus A320. This would represent the first Chinese-designed and produced aircraft, and a serious threat to Boeing and Airbus' duopoly in the single-aisle jet market.
It's worth noting that Cayman Airways has also announced that it will suspend all of its 737 MAX operations, and it's likely that other airlines and countries will follow suit in the coming days and weeks pending a full investigation into the Ethiopian Airlines crash and a safety review of the plane's design and operating procedures.
For more information, read what industry experts have to say about whether or not the Boeing 737 MAX is safe to fly. Plus TPG's full coverage of the Ethiopian Airlines 737 MAX crash and aftermath:
TPG featured card
at American Express's secure site
Terms & restrictions apply. See rates & fees.
| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 4X | Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 5X | New! Earn 5X Membership Rewards® points on prepaid hotel stays booked through AmexTravel.com or the Amex Travel App. |
| 3X | Earn 3X Membership Rewards® points on flights booked through AmexTravel.com, the Amex Travel App, or purchased directly from airlines. |
| 2X | Earn 2X Membership Rewards® points on prepaid car rentals booked through AmexTravel.com or the Amex Travel App and cruises booked and paid through AmexTravel.com. |
| 1X | Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases. |
Pros
- Valuable dining and food-related credits
- Flexible rewards with airline and hotel transfer partners
- Multiple travel and purchase protections
- No foreign transaction fees
- Access to Amex Offers for additional savings (enrollment required)
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $8,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- New! Earn 5X Membership Rewards® points on prepaid hotel stays booked through AmexTravel.com or the Amex Travel App.
- Earn 3X Membership Rewards® points on flights booked through AmexTravel.com, the Amex Travel App, or purchased directly from airlines.
- Earn 2X Membership Rewards® points on prepaid car rentals booked through AmexTravel.com or the Amex Travel App and cruises booked and paid through AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- Pay It® lets you tap in the American Express® App to quickly pay for small purchase amounts throughout the month and still earn rewards the way you usually do. Plan It® gives you the option to split up big purchases into equal monthly payments with a fixed fee. You’ll know upfront exactly how much you’ll pay.
- Updated! $120 Dining Credit: Earn up to a total of $10 in statement credits monthly when you pay with the Gold Card at Grubhub (including Seamless), Buffalo Wild Wings, Five Guys, The Cheesecake Factory, and Wonder. This can be an annual savings of up to $120. Enrollment required.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year at over 10,000 qualifying U.S. Resy restaurants after you pay for eligible purchases with the American Express® Gold Card. That’s up to $50 in statement credits semi-annually. Enrollment required.
- $84 Dunkin' Credit: Earn up to $7 in monthly statement credits after you pay with the American Express® Gold Card at U.S. Dunkin’ locations. Enrollment required.
- $120 Uber Cash on Gold: Enjoy up to $120 in Uber Cash annually with your Gold Card. Just add your Card to your Uber account and you'll get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an Amex Card for your transaction.
- New! As an American Express® Gold Card Member, you can enjoy complimentary Hertz Five Star® Status. Enjoy benefits like skipping the counter at select locations, adding an additional driver at no additional cost*, and vehicle upgrades**. Benefit enrollment and Hertz Gold+ registration are required. *Additional drivers must meet standard rental qualifications and must be a spouse or domestic partner to qualify as complimentary. Other additional drivers subject to fees. **Benefits are subject to availability and vary by location. Additional Hertz program Terms and Conditions including age restrictions apply.
- Take advantage of a $100 credit towards eligible charges* at over 1,300 upscale hotels worldwide when you book The Hotel Collection through AmexTravel.com or the Amex Travel App **. *Eligible charges vary by property. **The Hotel Collection requires a two-night minimum stay.
- Book your travel through the Amex Travel App with added peace of mind – backed by American Express® service and support. Only for American Express® Card Members.
- Whenever you need us, we're here. Our Member Services team will ensure you are taken care of. From lost Card replacement to statement questions, we are available to help 24/7.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.


