FAA is said to maintain production cap on Boeing 737 Max

The Federal Aviation Administration doesn’t have any plans to lift the current monthly production cap of 38 aircraft for Boeing’s (NYSE:BA) 737 MAX, following ongoing scrutiny after a serious mid-air incident earlier this year, Reuters reported Wednesday.

Speaking after a U.S. House hearing, Acting FAA Administrator Chris Rocheleau told reporters that the agency is not considering relaxing the output limit, which was put in place after a January 2024 emergency involving an Alaska Airlines 737 Max where four key bolts were found missing.

Rocheleau also confirmed the FAA will continue its policy of independently inspecting each 737 Max and 787 Dreamliner before issuing airworthiness certificates, rather than allowing Boeing (NYSE:BA) to handle the process through delegated authority, as was once common practice.

Boeing (BA) declined to comment to Reuters on the FAA’s latest statements.

Last week, the FAA extended Boeing’s ability to carry out certain delegated functions under its Organization Designation Authorization (ODA) program. The extension, now lasting three years instead of the five Boeing originally requested, was granted due to improvements in the company’s compliance processes, according to the agency.

Boeing (BA) Chief Executive Kelly Ortberg recently expressed optimism about ramping up production of the 737 Max, stating the company is confident it can reach a rate of 42 aircraft a month. Ortberg added that Boeing’s (BA) broader production plan includes gradual increases, typically five additional planes at a time, with at least six months between each phase, pending FAA approval.

The FAA’s cautious stance comes amid lingering concerns following two fatal crashes of the 737 Max in 2018 and 2019, which killed 346 people and triggered a nearly two-year global grounding of the aircraft. In response, Congress passed major reforms to FAA certification processes in late 2020.

An earlier review by the Office of Inspector General revealed that FAA officials in 2023 had considered restoring Boeing’s (BA) authority to issue final airworthiness certificates. However, those plans were shelved in the wake of the January 2024 Alaska Airlines incident.