Boeing's 777X widebody jet is not expected to enter commercial service until early 2027, one full year later than planned, or about seven years behind schedule. One Jefferies analyst now expects Boeing to take a massive charge due to the delay, adding yet another headache for the struggling planemaker. The fresh setback comes one week after reports suggested the FAA was easing restrictions on 737 Max deliveries.
Bloomberg, citing sources familiar with Boeing and major airlines, reported that the 777X will not be delivered to Deutsche Lufthansa AG and Emirates in 2026, with the latest plans pushing entry into service to 2027.
Deutsche Lufthansa AG, the launch customer for the widebody aircraft, is already laying the groundwork for a fresh setback. The German airline isn't including the 777X in its fleet plans until 2027, said one of the people, who asked not to be identified because the matter is confidential. Officials at Emirates, the 777X's biggest customer, have also grown more cautious as it looks at entry into service possibly not before 2027. -BBG
The potential commercial delay for the 777X prompted Jefferies analyst Sheila Kahyaoglu to forecast that Boeing could take a charge as large as $4 billion due to the delays.
That includes the lost cash Boeing would have collected in 2026 from delivering 18 of the widebody jets, along with customer concessions and other related costs. Of the many challenges that the planemaker currently faces, "I'm sure it's a big priority because it's going to be a big cash drain for them," Kahyaoglu said of the 777X certification delays.
Separately, RBC analyst Ken Herbert expects the 777X's entry into service to begin sometime in the second half of 2027. He forecasts a $2.5 billion charge due to the delay.
Last month, Boeing CEO Kelly Ortberg revealed to investors at a Morgan Stanley conference that the 777X certification process was falling behind schedule.
Emirates (the largest customer), Qatar Airways, Lufthansa, Etihad Airways, Cathay Pacific, All Nippon Airways, and British Airways are among the customers awaiting delivery. This new jet is the successor to its out-of-production 747 jumbo.
Boeing shares are flat in premarket trading in New York. For the year, shares are up 23% (as of Thursday's close) and have been locked in a half-decade lateral pattern since the twin Max jet crashes and the Covid pandemic.
Related:
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For the Trump administration, 737 Max's global supply chain is a significant problem.
Here’s a breakdown of key parts in the Boeing 737 and their country of origin:
| Country | Aircraft component for Boeing 737 |
|---|---|
| Australia | Wing ailerons |
| Austria | Blended winglets and split winglets |
| Belgium | Engine compressors, oil tank, pump, filter, and valve |
| Belgium | Flap/slat mechanisms |
| Canada | Communication antennas |
| Canada | Airborne communication systems |
| Canada | Wing tip panels |
| Canada | Wheel well fairings |
| Canada | Aircraft doors |
| Canada | Cabin curtains |
| Canada | Power transmission torque tube drives |
| Canada | Inner barrel for engine nacelle inlet |
| Canada | Nose landing gear assemblies (titanium components) |
| Canada | Electromagnetic indicators and annunciators |
| Canada | Winglet and wing components |
| China | Forward entry door |
| China | Rudder |
| China | Flight deck panels |
| China | Carbon brake disks |
| China | Interior completion of cabin |
| China | Vertical fin |
| China | Aft fuselage section |
| China | Aircraft landing gear |
| France | Wing assembly |
| France | Bearings |
| France | Inflight entertainment |
| France | Engine electrical wire harnesses |
| France | Titianium/aluminum structural components |
| France | Piston rings |
| France | Thrust reversers |
| France | Autothrottle system |
| France | Electrical power contactor |
| France | Engine hydromechanical fuel pumps |
| France | Wheels |
| France | Emergency locator transmitter |
| France | Cockpit door surveillance cameras |
| France | Structural bulkhead |
| France | Standby flight display |
| France | Limit and proximity switches |
| France | Fasteners |
| Germany | Corrosion protecting coatings |
| Germany | Cabin exit signs |
| Germany | Passenger Seating |
| Germany | Cabin galley and stowage bins |
| Germany | Cargo sliding carpet system |
| Germany | Winglet lightning harness |
| Germany | Cabin pressure control system |
| Germany | Fuselage anti-collision lights |
| Germany | Door locks and latches |
| Germany | Ice protection equipment |
| Germany | Window seals |
| Germany | Forgings, castings and extrusions |
| India | Vertical fin structures |
| India | Wire harnesses |
| India | Strut assemblies |
| Israel | Cargo and passenger doors |
| Israel | Metal parts and structures |
| Israel | Wheel well panels |
| Israel | Aluminum and steel for winglet |
| Italy | Titanium forgings |
| Italy | Rotor blades and stator vane |
| Japan | Inboard flaps and flap segment |
| Japan | Passenger Seating |
| Japan | Lavatory equipment |
| Latvia | Arm caps for economy class seats |
| Malaysia | Airframe saddle fairing |
| Morocco | Wire harnesses |
| Netherlands | Galleys, closets, class dividers |
| Netherlands | Electrical wiring, wire harnesses, junction boxes |
| Netherlands | Laminates for various components |
| Norway | Turbine engine vanes and casings |
| Russia | Titanium |
| South Africa | Vacuum-formed cockpit and cabin assemblies |
| South Africa | Precision machined interior linings |
| South Korea | Lower door skin, inner skin cover detail |
| South Korea | Electronic equipment door |
| South Korea | Empennage (737 MAX) |
| South Korea | Interior bulkheads |
| South Korea | Flap support fairing and winglet |
| South Korea | Rear wing spar and jackscrew |
| Spain | Flight control surfaces |
| Spain | Rudder |
| Spain | Sheet metal bending and milling |
| Sweden | Engine gearbox bearings |
| Sweden | AC/humidity control |
| Switzerland | Airborne vibration monitor |
| Taiwan | Main landing gear door |
| Taiwan | Pressurized doors |
| Taiwan | Engine case |
| Turkey | Rear fuselage and tail surfaces |
| Turkey | Flight deck panels |
| Turkey | Wing tips |
| Turkey | Structural components |
| Turkey | Cabin cabinets |
| Turkey | Engine fan cowls |
| UK | Thrust reverser actuator |
| UK | Flight control actuators |
| UK | Blended winglets |
| UK | Wing flaps structural ribs and substructures |
| UK | Engine sensors, and monitoring |
| UK | Nacelle inlet lip skins |
| UK | Cockpit voice recorder and flight data recorder |
| UK | Extended range auxiliary fuel tank |
| UK | Cockpit indicators and switches |
| UK | Tires |
| UK | Electrical static dischargers |
| UK | Aircrew seats and gear drives |
| UK | Airborne communication antenna |
| UK | Emergency lighting floorpath system |
| UK | Flight deck entry video surveillance system |
| UK | Emergency locator beacon |
| UK | Jet engine rings |
| UK | Anti-spall windshields |
| UK | Packing and filling material |
Why Build a Jet Like This?
Commercial aircraft contain millions of precision parts, many made from exotic alloys or advanced composites. No single country holds all that know‑how. Russia’s VSMPO‑AVISMA, for instance, remains the world’s dominant source of aerospace‑grade titanium—a metal prized for its strength‑to‑weight ratio and corrosion resistance.
By tapping specialized suppliers, Boeing keeps costs competitive, earns reciprocal market access abroad, and balances political risk by spreading production across multiple jurisdictions.
Risks of Tariffs and Protectionism
However, this level of globalization exposes manufacturers to geopolitical and economic risks. According to Reuters, aerospace firms have lobbied hard to preserve tariff-free agreements between the U.S. and EU. Even temporary tariffs in past disputes have disrupted delivery schedules and increased costs.
Analysis from Harvard Business School points to rising protectionism as a major threat to supply chain stability. As governments reevaluate trade policies, the world’s major aircraft companies may be forced to rethink their international sourcing models—a costly and complex endeavor.
https://www.zerohedge.com/markets/boeing-777x-commercial-debut-pushed-2027-billions-charges-loom
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