MAG cites concern over timely delivery of 737-MAX 8 aircraft and network growth post-Boeing audit

MAG cites concern over timely delivery of 737-MAX 8 aircraft and network growth post-Boeing audit

KUALA LUMPUR (March 21): Malaysia Aviation Group (MAG), Malaysia Airlines Bhd’s parent company, expressed concerns over the timely delivery of ten 737-MAX 8 aircraft scheduled for this year, which could further impact its network expansion.

MAG voiced concerns over the delivery of its 737 MAX planes, as Boeing revealed the need for “additional work” on the aircraft following a recent audit by the US Federal Aviation Administration (FAA).

Notably, MAG group chief strategy officer Bryan Foong said the aviation group had already experienced delays in deliveries for its Boeing 737-MAX 8 aircraft even before this.

“We are expecting 10 aircraft and that’s the latest position that Boeing indicated to us for this year. We are not 100% sure that they are going to deliver 10 [on time], but we hope they do, because as a network, we have been quite impacted by the lack of aircraft that they have promised to deliver,” he told reporters at a press conference here on Thursday.

“I must emphasise that safety is the top most priority for MAG. We are in constant discussions with Boeing around the state of the aircraft. We are in the midst of a 737-MAX 8 delivery programme, and we are monitoring the situation very closely with Boeing,” he added.

Nonetheless, MAG said it is working closely with Boeing to ensure that none of the aircraft it ordered are affected by any safety issues after the US aircraft manufacturer was given 90 days by the FAA last month to develop a comprehensive plan to address “systemic quality-control issues to meet FAA’s non-negotiable safety standards”.

Following a six-week audit of Boeing, the FAA earlier this month said it found multiple instances where the company allegedly failed to comply with manufacturing quality control requirements.

The FAA cited problems in numerous areas, including “manufacturing process control, parts handling and storage, and product control”.

Boeing confirmed the findings in response to a Reuters query after industry sources said a spacing problem had been discovered in holes drilled on a window frame, but the jetmaker said safety was unaffected and existing 737s could keep flying.

MAG expects 14 new aircraft to be delivered in the second half of 2024, comprising 10 Boeing 737-MAX 8s while the remaining will be Airbus A330neos.

Meanwhile, MAG group managing director Datuk Captain Izham Ismail said that Dutch-headquartered Airbus SE has also not been spared from issues of supply chain.

As a result, the delivery of one Airbus A330neo, out of the four that should arrive this year, will also be delayed.

“In this context, one [aircraft] will be delayed until next year, but this is not due to Airbus but due to the supply chain of seat manufacturers. So supply chain is an issue,” he said.

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