“Given the current global trade environment, 787 production rate will be reduced to 12 airplanes per month for approximately two years beginning in late 2020,” it said, an apparent reference to the Trump Administration trade wars.
Boeing raised the 787 production rate in part in anticipation of orders from China. Donald Trump’s trade war with China has frozen orders by the giant country since 2017.
Boeing CEO Dennis Muilenburg previously said slow 787 orders were tied to China’s lack of them.
Boeing made the announcement in its third quarter earnings release.
The company, as expected, announced a loss for Commercial Airplanes and negative cash flow due to the 737 MAX grounding, which halted deliveries March 13.
No additional charges were announced, as many had expected.
The Boeing earnings call begins at 10:30am Eastern time. Signing into the webcast is here.