Key Points:

  • Boeing targets production of at least 57 737 jets per month by July 2025.

  • Before the 737 MAX grounding in 2019, Boeing had aimed for a production rate of 57 jets per month.

  • Rival Airbus maintains a production target of 75 A320neo jets monthly by 2026.

Boeing Aims for Record Production of 737 Jets by 2025

ARLINGTON — Boeing has set its sights on an ambitious production target for its renowned 737 narrowbody jet, aiming to achieve a record rate of 57 jets monthly by mid-2025. This move mirrors the company's resurgence following the aftermath of the 737 MAX debacle, as disclosed by insiders familiar with the matter.

The proposed target echoes a previously unattained objective the aerospace manufacturer had set prior to the global grounding of the 737 MAX in 2019, spurred by two catastrophic crashes. As the demand for air travel resurges, both Boeing and its European competitor, Airbus, are laying the groundwork for substantial production expansions. Notably, Airbus is currently accelerating production of its sought-after single-aisle planes at a pace that exceeds Boeing's.

In its recent supplier master schedule, verified in mid-September, Boeing outlined this strategy. As per this schedule, the production of 737 jets, inclusive of the 737 MAX and earlier military plane models, is slated to reach 42 units per month by the close of 2023. This planned increment is set to rise to 47.2 jets by mid-2024, 52.5 jets by end-2024, and steadily achieve 57.7 jets monthly by July 2025.

It's worth noting that Boeing's official monthly target for the 737 production hovers around 50 aircraft for the period 2025-2026, a figure the company had introduced to investors last fall. However, Boeing's CEO, Dave Calhoun, has hinted at a possible rate increase to 60 jets monthly, especially in light of significant orders such as the recent deal with Air India for nearly 200 MAX aircraft.

Discussing the potential for higher production, Calhoun commented during a July earnings discussion, "The market undoubtedly supports a jump to 60 deliveries." He emphasized that the latter half of 2024 would be pivotal for Boeing to demonstrate supply chain reliability and adherence to its expansion blueprint.

While supplier schedules are susceptible to modifications based on various determinants, these plans significantly guide the supply chain, enabling ancillary businesses to strategize their investments, according to sources.

Meanwhile, Airbus has remained steadfast in its commitment to achieve a monthly production target of 75 units for its flagship A320neo aircraft by 2026, with company executives affirming that the plan is on a steady course.