KUALA LUMPUR: Malaysia Airlines Bhd (MAB) said it has suspended the delivery of Boeing 737 MAX planes as there is no clarity from various aviation authorities on the aircraft’s return to service.
“We will not be taking delivery of the scheduled aircraft this year as planned. We are continuing discussions with Boeing on this matter,” a spokesman from MAB told the New Straits Times (NST) yesterday.
The 737 MAX jets was grounded worldwide in March last year following two fatal crashes from the Ethiopian Airlines flight 302 and the Lion Air flight 610, killing 346 people on board.
MAB said it had a firm order of 25 Boeing 737 MAX aircraft with another 25 purchase rights in a deal valued at US$5.5 billion.
The carrier said the aircraft was expected to be delivered in phases, beginning July, with five planes due to arrive in this year.
“We will await the decision of the United States’ Federal Aviation Administration (FAA) and other regulatory bodies before deciding on the next steps,” said the spokesman.
MAB said safety was its utmost priority and welcomed the move by Boeing to improve procedures, ensuring safer operations of the 737-MAX.
“As there is no clarity yet from various authorities on its return to service, our technical due diligence is still ongoing.
“In view of the production stoppage and the delayed return to service of the 737-MAX, MAB has suspended the delivery of our orders which are due in 2020.”
However, the airline did not respond immediately when asked on when its Boeing deliveries would resume or whether it still wanted to pursue orders from Boeing.
Boeing had also announced via a statement on December 17 last year said that the suspension of the production of the MAX would begin in January 2020.
However, the Seattle-based airframe maker said it would prioritise the delivery of stored aircraft.
Boeing apologised to MAB for the disruption.
“We are working to support them (MAB) and all of our customers in every way possible to ensure complete confidence in the 737 MAX and a safe return to commercial flight,” a Boeing spokesman told the NST yesterday.
Khazanah Nasional Bhd managing director Datuk Shahril Ridza Ridzuan said the huge delay had affected many airlines and their plans for deployment.
“There is still no clear time for resolution,” he responded when contaced by NST yesterday.
Meanwhile, Reuters reported that MAB’s decision represented another setback for Boeing, which on Tuesday reported its worst annual net orders in decades, along with its lowest number of plane deliveries in 11 years, as the grounding of the 737 MAX saw it fall far behind main competitor Airbus SE.
Virgin Australia Holdings Ltd said last year it would delay taking the first deliveries of 737 MAX jets for nearly two years to reduce capital spending.
Norwegian Air Shuttle ASA said last year its Dublin-based leasing subsidiary had reached an agreement with Boeing to postpone delivery of 14 737 MAX planes that were originally due in 2020 and 2021.
Boeing on Tuesday reported a net negative of 183 orders for the 737 MAX in 2019 including cancellations, but many were associated with the collapse of a major customer, India’s Jet Airways Ltd.