Leeham News and Analysis
There's more to real news than a news release.
Leeham News and Analysis
- Airbus forecasts that almost three times more aircraft needs to be produced by year 2044 June 12, 2025
- Paris Air Show preview: Don’t look for big news June 11, 2025
- P&W: the troubled GTF will be the best engine for the next single-aisle airplane June 11, 2025
- Boeing’s 737 North Line and the Everett factory: in transition now June 9, 2025
- Bjorn’s Corner: Air Transport’s route to 2050. Part 25. June 6, 2025
Bjorn’s Corner: The challenges of Hydrogen. Part 11. Emissions
October 2, 2020, ©. Leeham News: In our series on Hydrogen as an energy store for airliners we look deeper at the emissions from a hydrogen airliner and compare it to the emissions from today’s carbon fueled aircraft.
Figure 1. The three Hydrogen concepts from Airbus. Source: Airbus.
Boeing needs to show respect for taxpayers, Gov. Inslee says
By Scott Hamilton
Oct. 1, 2020, © Leeham News: Washington Gov. Jay Inslee reacted today to Boeing’s decision to consolidate 787 production in Charleston (SC) with a threat.
Gov. Jay Inslee
“Boeing’s decision to take the 787 to South Carolina necessitates a review of our partnership and the company’s favorable tax treatment,” said in a statement.
Boeing needs to respect Washington taxpayers, he said.
The county executive and the city mayor where the Washington 787 Final Assembly Line #1 is located promised support and strengthening the relationship with an eye toward economic recovery and a future New Boeing Airplane (NBA).
This is no time for divisions, said Snohomish County Executive David Somers when asked about Inslee’s threat.
Everett Mayor Cassie Franklin agreed. She said it’s time to support Boeing, a “family member,” who is hurting in this economic crisis triggered by the COVID-19 pandemic.
It’s official: Boeing to consolidate 787 production in Charleston in 2021
Oct. 1, 2020, (c) Leeham News: It’s official: Boeing confirmed this morning what has been expected since late July: 787 production will be consolidated in Charleston at its 787 final assembly line.
Consolidation will be from mid-2021, earlier than the previously announced 2022 date. Production next year will decline to 6/mo.
Boeing issued the following press release this morning:
Nobody should be surprised at Boeing decision
| By Scott Hamilton
Commentary Oct. 1, 2020, © Leeham News: Nobody, but nobody, should be surprised that Boeing is going to consolidate 787 production in Charleston (SC). This die was cast Oct. 28, 2009, when Boeing announced that the second 787 Final Assembly Line would be placed in Charleston instead of Everett. It was only a matter of time.  Boeing 787 production and assembly plants in Charleston (SC). Source: Flight Global. |
Retrospective-4, 11/1/09: 787 Line 2 Postmortem
Retrospective-3, 10/20/09: Dueling Messages: Boeing vs IAM
Read more
Retrospective-2, 10/29/09: 787 Line 2 aftermath
Retrospective-1, 10/28/09: Boeing to Charleston for 787 FAL #2
Last month, Gov. Jay Inslee of Washington asked Boeing if there was anything the state could do to persuade Boeing do keep Line 1 in Everett.With 787 FAL closing and 747 production ending, what does Boeing do with massive space in Everett?
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By Scott Hamilton and Bryan Corliss
Introduction
Oct. 1, 2020, © Leeham News: Boeing is expected to announce as early as today that it will consolidate the 787 final assembly lines into one at its Charleston (SC) plant.
Footprint of Boeing Everett final assembly building. This map is somewhat outdated but a current one is not available. Source: Seattle Times.
Reuters reported last week the decision to consolidate production in Charleston was made. The Wall Street Journal Tuesday night also reported this decision, saying the decision could be announced this week.
The Everett (WA) line is expected to close as production of the 787 falls below seven a month. Boeing previously announced the rate will fall from a peak of 14/mo to 6/mo by 2022.
With the closure of the 747 line in Everett slated for 2022, this will open huge bays in Everett. Nearly half the world’s largest building by volume will be empty. Given lower production rates because of the COVID-19 pandemic, the 777 lines will be woefully underutilized.
Overhead costs probably can’t be absorbed by the remaining low-rate production 767/KC-46A and 777 lines. Boeing warned in its 2Q2020 10Q SEC filing that the 787 and 777 lines face a forward loss depending on production rates of other lines.
With no New Midmarket Airplane (NMA) being contemplated to fill the empty bays, what can Boeing do to utilize these massive spaces and retain profitability of Everett?
A radical solution is moving the 737 line from Renton to Everett. This means Renton would close well before the 2033 date LNA predicts and selling off the property for commercial development.
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FAA administrator flies MAX in next step to recertification
By Scott Hamilton
Sept. 30, 2020, © Leeham News: Boeing is one step closer to recertifying the 737 MAX.
Steve Dickson
Steve Dickson, the administrator of the Federal Aviation Administration, fulfilled a pledge this morning to pilot the MAX as one of the final steps in the recertification process.
The MAX was grounded in March 2019 following the second fatal accident of the airplane in five months.
Dickson said he would not recertify the airplane until he piloted it and was satisfied Boeing redesigned the now-infamous MCAS software that triggered events leading to the two crashes.