Ortberg Downplays Boeing's China Aircraft Order Hopes

Boeing's CEO Kelly Ortberg tempered expectations for a large China aircraft order at Morgan Stanley's 14th Annual Laguna Conference. He clarified that Boeing did not receive a roughly 200-plane order, contrary to earlier reports. Instead, Chinese officials indicated plans to move forward with purchases incrementally and announced by individual airlines.

Boeing is dealing with production challenges in its 737 program, including wing bottlenecks and slower-than-expected ramp-ups. The company has reached a production rate of 47 aircraft per month but still needs to stabilize at that level. Wing production remains the primary constraint, and Boeing expects certification hurdles to continue.

The 777X faces another hurdle with GE Aerospace's engine mid-seal certification plan. Boeing is awaiting completion of this plan before beginning ETOPS testing. Some testing may spill into next year, but the company still targets 2027 deliveries.