Leeham News and Analysis
There's more to real news than a news release.
Leeham News and Analysis
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- Better transparency needed on Boeing’s 1Q earnings call April 22, 2024
- Bjorn’s Corner: New engine development. Part 4. Propulsive efficiency April 19, 2024
About 40% of MAX fleet now grounded-but not by FAA
March 12, 2019, © Leeham News: About 40% of the world’s in-service Boeing 737 MAX fleet were grounded by the end of yesterday, Seattle time, after more governments and airlines banned operations.
Singapore was the latest to ban MAX operations from its air space.
The US Federal Aviation Administration said yesterday there isn’t enough information yet from the Ethiopian Airlines crash Sunday to conclude a grounding order is necessary.
But it added that it will issue an order for a mandatory action by April to make improvements to the flight control system. Boeing late Monday confirmed a software upgrade is in the works for its MCAS stall recovery system used on the MAX.
LNA reported early Monday that a plan to implement a software upgrade following the October crash of a Lion Air MAX 8 had not been implemented.
Read more
Indonesia grounds MAX, one-third of world fleet now grounded
Update: Royal Air Maroc, Mongolian Airlines ground MAX.
March 11, 2019, © Leeham News: Indonesia regulators today joined China, Grand Cayman Airways and Ethiopian Airlines in grounding the Boeing 737 MAX pending investigations or inspections.
This means about one third of the in-service MAXes have been grounded by regulators or
operators.
The moves came within 36 hours of the crash of Ethiopian Flight 302, a MAX 8, six minutes after take off from Addis Ababa. The crash killed all 157 people on board five months after a Lion Air 737-8 crash that killed 189 passengers and crew. Lion Air is an Indonesian carrier. The airline’s JT610 crashed 12 minutes after take off.
Boeing postpones public events for 777X roll-out
March 10, 2018, (c) Leeham News: Boeing today postponed the public ceremonies planned for Wednesday for the roll-out of the 777X, following the 
crash of Ethiopian Airlines Flight 302, a Boeing 737-8.
No date has been rescheduled.
Airbus holds 56% share of backlogs vs Boeing
Jan. 11, 2019, © Leeham News: Airbus trailed Boeing in net orders in 2018 but it still holds a commanding lead in backlog market share.
With the companies reporting their year-end tallies, Airbus has a 56% share of the backlog to Boeing’s 44%.
Airbus carries the day with narrowbody backlog. Its share is 58% to Boeing’s 42%.
Boeing wins the widebody backlog, 53% to 47%, driven by a broader product line, including strong 777F and KC-46A/767-300ERF backlogs.
When the emerging narrowbody airplane programs of China and Russia, and Embraer’s sole entry into the 100-150 seat sector (based on two-class seating), Boeing’s narrowbody share of the backlog drops from 42% to 40%.
Charts are below. Data is based on firm orders only.
2019 Outlook: COMAC’s slow but steady progress
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Introduction
Jan. 4, 2019, © Leeham News: This is not the year where China’s COMAC will have break-out progress for the C919, its challenge to the Airbus A320 and Boeing 737.
Flight testing is slow and entry into service (EIS) is now targeted for 2021—a slip of five years from the original schedule.
The C919 launch-to-EIS is approaching the eight years record of the ARJ21.
But these delays don’t mean COMAC isn’t making progress.
Summary
- Boeing’s JV with COMAC for a 737 completion center opened last month.
- Despite delays, the C919 progresses.
- Progress continues on the JV with Russia for the CR929.
How useful is an NMA, Part 4
By Bjorn Fehrm
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Introduction
November 1, 2018, © Leeham News.: Last week we looked at how a Boeing NMA would function as a medium range airliner in the Asia-Pacific.
We now continue with flying the two aircraft variants from Middle East locations, exploring how large an area in Asia, Europe and Africa the aircraft would cover.
Artists impression of the Boeing NMA. Source: The Air Current.
Summary:
- The profile of an NMA fits well in a Middle East Carrier’s fleet. Dependent on location it covers all of Europe and most of Africa and Asia.
- As the NMA is a lesser aircraft than the present long-range aircraft used on the routes it would have impressive economics for this type of operation.
Airbus sees potential for A330neo sales; Boeing sees opportunity
June 6, 2018, © Leeham News: Airbus remains confident that the sales boon for the slow-selling A330neo is just around the corner, but an analysis of Airbus’ current operator lists shows significant inroads by Boeing for its 787.
Airbus is counting on aging A330ceos by 2020 to spur sales of the A330neo. But Boeing already sold the 787 to 19% of the A330 operators. Look for more aggressive campaigns. Airbus photo via Google.
LNC outlined Airbus’ strategy last December in which officials are confident the A330neo will see an uptick in orders as the current A330 operating fleet, now called the ceo, ages beginning in 2020.
The new sales chief, Eric Schulz, reiterated Airbus’ confidence at the IATA AGM this week in Sydney, Australia.
But 19% of the 109 A330 operators already ordered the 787. One, American Airlines, already announced the 787 order will replace the A330s in its fleet. Air Canada long ago made a similar announcement. Hawaiian Airlines canceled an A330-800 order in favor of the 787-9.
China proposes tariffs on Boeing planes, but it’s less than meets the eye
April 4, 2018, © Leeham News: The Trump Administration’s ill-conceived proposed tariffs on aircraft parts made and imported from China prompted what on the surface appears to be a hit back at Boeing, but which in reality seems more fluff than substance.
Jon Ostrower broke the news yesterday about the list of aircraft components Trump proposes tariffs on. Since Boeing uses China for some of its aircraft components, the tariffs would hurt Boeing.
China today proposed 25% tariffs on Boeing airplanes—but excludes the MAX 8 by weight. (The MAX 7 may be included, with between 10-20 announced ordered by two Chinese airlines).
According to Airfinance Journal Fleet Tracker, there are only 19 737-800s remaining on order for delivery this year through 2021. This doesn’t include any Unidentified orders.
Eight -800s are scheduled for delivery this year, six in 2019, two in 2020 and three in 2021.
US aerospace analysts are unimpressed. The following is a synopsis of their reaction.
Spies and industrial spying
By Scott Hamilton
Scott Hamilton
March 27, 2018, © Leeham News, Bainbridge Island (WA): The unexpected US order to close the Russian Consulate in Seattle this week set off a media frenzy in this city because two reasons cited were the proximity of the consulate to Boeing and two US naval bases, Bremerton and Bangor.
There is a third, smaller one, in Everett, but this wasn’t mentioned.
Bremerton is a major repair-and-overhaul base for ships, ranging from aircraft carriers to submarines to frigates and support ships.
Bangor is home to Trident nuclear missile subs and the spy sub, USS Jimmy Carter.
I live on Bainbridge Island, a stone’s throw to Bangor (ground zero in a North Korean nuclear missile attack?) and a 45-minute drive to Bremerton. It’s 45 minutes from here to Boeing Field via ferry and car.
Boeing, of course, is the principal home to Boeing Commercial Airplanes. The commercially-based P8 Poseidon and the KC-46A tankers are built here.
China tariffs on Boeing unlikely
Analysis
March 14, 2018 © Leeham News: Boeing is unlikely to face retaliatory tariffs from China following President Trump’s imposition of tariffs on China’s steel industry.
LNC believes China’s own self-interest for its airline, leasing and aerospace industry would make imposing tariffs on Boeing counter-productive.
Several media reports this week raise the prospect of China retaliating against Boeing, including these at CNBC and The New York Times. Boeing stock is off $10 or 3% in mid-day trading.