Boeing Co's suppliers are bracing for a possible halt in production of the ...
- Boeing Co’s suppliers are bracing for a possible halt in production of the 737 MAX, as the grounding of the planemaker’s fast-selling aircraft is pushed into 2020, possibly resulting in lost revenues and adding to billions of dollars in costs.
FILE PHOTO: People work near the door of a 737 Max aircraft at the Boeing factory in Renton, Washington, U.S., March 27, 2019. REUTERS/Lindsey Wasson/File Photo Boeing has continued to purchase parts from some suppliers at a production rate higher than its own, in order to keep the supply chain fluid and avoid major disruptions when the MAX returns to service.
Analysts say a suspension of MAX production would pressure suppliers, depending on the sales exposure they have to Boeing.It makes the MAX fuselage, pylons, thrust reverser, wing leading edges and engine nacelles.The joint venture company of General Electric and Safran SA is the biggest supplier of engines to the MAX.It makes MAX parts including airframes and engine build-up tubes.The U.S.
It makes parts including auxiliary power units, weather radars and cockpit advisory systems that increase flight crew awareness of surroundings during taxi, takeoff and landing.It makes composite materials used on the MAX airframe and engines.The U.S. aircraft parts maker gets about 15% of its annual sales from Boeing, its biggest customer.The UK-based aircraft parts maker counts Boeing among its largest customers.
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