On May 21, Reuters broke the news that Boeing is discussing a further increase in 737 MAX production in late 2022 as it recovers from overlapping safety and coronavirus crises. The report is the latest in a series of Reuters exclusives on a hot-button issue for aerospace investors: whether bruised global supply chains can keep up with post-crisis demand. The week prior, Reuters broke news of a similar production hike by Europe’s Airbus, and followed on May 18 with the same company’s private warning to suppliers over quality problems.
Reuters reveals Boeing discussing new output increase; market reacts
Shares in aerospace companies rose after the news, with Boeing up more than 3% and key supplier Spirit Aero Systems up more than 5% in late trading.