[Trending News] Boeing Aims to Shut Down ‘Shadow Factories’

Boeing admitted that its production cannot keep up with its aircraft sales. However, the aircraft manufacturer aims to restore jet production to the pre-crisis levels it achieved before deadly crashes in 2018 and 2019 and last year’s midflight door plug detachment.

To accomplish this, the Wall Street Journal reported that Boeing wants to empty the aircraft stored in its shadow factories. The company defines a shadow factory as a production line where mechanics and engineers fix, maintain, and update planes rather than build new ones.

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Boeing uses shadow factories in Moses Lake and Everett, Washington, to work on its 737 MAXs and 787 Dreamliners, respectively. A year ago, the company estimated that it housed approximately 225 jets in shadow factories. It claims that number dropped to 115 by 2025.

The MAXs are reportedly mostly from the global grounding that followed the crashes. The 787s are awaiting checks to confirm that the aircraft parts receive proper assembly after concerns regarding the production process.

According to the Wall Street Journal, the shadow factories often demand Boeing’s most seasoned workers. Additionally, reworks and inspections can sometimes take longer than the initial production.

This desire to clear out the shadow factories comes after Boeing posted a 14% decline in full-year revenue from 2023. The company also stated that its total backlog increased to $521 billion, including more than 5,500 commercial aircraft, attributed to slowed production and a nearly two-month machinist strike.

The Wall Street Journal reported that CEO Kelly Ortberg hopes to reach a monthly production rate of 38 737 MAXs and shut down the shadow facilities by midyear. Early analyst estimates indicate that the company made 20 of the aircraft in January.

As for its customers, Southwest Airlines CEO Bob Jordan reportedly acknowledged progress at Boeing but noted that his company does not expect to receive the amount of jets originally promised for 2025.

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