Boeing to increase 737NG production to 38 airplanes a month

Boeing (Chicago, Seattle, Wichita and Charleston) announced its production rate for the Next-Generation 737 program will increase to 38 airplanes per month in the second quarter of 2013. This decision comes just months after announcing a rate increase on the company’s best-selling commercial jetliner from 31.5 to 35 airplanes per month in early 2012.

Key factors to the rate decision include the company’s current backlog of more than 2,000 Next-Generation 737s, current options that customers are expected to exercise and ongoing sales campaigns. The rate increase is not expected to have a material impact on 2010 financial results.

The 2010 Current Market Outlook, Boeing’s long-term forecast of air traffic volumes and commercial airplane demand, projects a market of over 21,000 single-aisle airplanes over the next 20 years, accounting for an anticipated 69 percent of the airplanes delivered and an estimated 47 percent of the $3.6 trillion total market value.

Copyright Photo: Nick Dean. Not often photographed in this state, the 737s emerge from the Renton, WA assembly plant with the green preservative coating before the final painting. Sometimes the aircraft will start the testing phase in the “green look” while some customers will paint their own aircraft (like Southwest for their special themes) away from Seattle. This aircraft is destined as a government transport aircraft for the Saudi Arabia Ministry of Finance and Economy.