Boeing to halt 737 output in January as crisis escalates for planemaker
Boeing said Monday it would temporarily suspend production of its globally grounded 737 MAX jets next month as safety regulators delay the aircraft’s return to the skies after two crashes.
The decision confirmed investor fears that the company’s recovery from the crisis is dragging on longer and creating more uncertainty for Boeing than executives anticipated.
Boeing’s travails since March have weighed on the US economy, holding down American manufacturing output, trade and sales of durable goods while damaging the company’s performance on Wall Street’s benchmark Dow Jones Industrial Average.
In a statement, the company said it would continue to pay its workers despite the temporary production stoppage, but the decision immediately raised questions for the future of parts suppliers which contribute to the jets’ manufacture.
