Michael O’Leary, chief executive officer of Ryanair Holdings Plc
| Photo Credit:
Chris J. Ratcliffe
Boeing Co. has expressed confidence to Ryanair Holdings Plc that it will be able to raise 737 production rates by the end of October, the Irish airline’s chief executive officer said.
Ryanair, one of Boeing’s biggest customers, also expects to receive 25 of its 737 jets between August and October, four to five months ahead of schedule, CEO Michael O’Leary told reporters in London on Wednesday.
Executives at the US planemaker have told O’Leary they’re targeting a production rate of 42 a month for the 737 by October after government approvals are secured, he said.
“They’re saying now that they’ll apply to the FAA in September and hope that the physical rate increase will take place in October,” O’Leary said at the event.
If all goes to plan, Boeing would be manufacturing its cash-cow 737 family jets at the fastest pace since early 2020. The planemaker is planning a series of rate increases, all carefully monitored by US regulators, that are critical to restoring its financial health after years of crisis.
“If Boeing requests a production rate increase, onsite FAA safety inspectors will conduct extensive planning and reviews with Boeing to determine if they can safely produce more aircraft,” the US Federal Aviation Administration said by email. “Our heightened level of oversight of Boeing will continue.”
O’Leary’s comments provide a window into planning details Boeing is sharing with major customers as it works to lift a cap on production imposed by the FAA after a midair blowout in January 2024.
Under Boeing CEO Kelly Ortberg, aircraft are coming out of the planemaker’s Seattle-area facilities faster and with fewer defects, O’Leary said, adding in a separate Bloomberg TV interview that US regulators should allow Boeing to raise factory rates.
“They’re really on top of the quality control,” O’Leary said. “They have done a remarkable job in the last 12 or 18 months.”
Boeing declined to comment on O’Leary’s remarks. Spokespeople pointed to steps Ortberg described in a July 29 earnings call. “We expect to be in a position to request approval from the FAA in the coming months to increase to 42 aircraft per month,” the CEO said then.
Boeing rose 0.5 per cent to $235.95 as of 3:58 p.m. New York time. The stock has advanced 32 per cent this year, the second-best performance among the 30 members of the Dow Jones Industrial Average.
US officials capped output of Boeing’s most popular jet at 38 per month after the midair door-panel blowout on an Alaska Airlines flight exposed deep flaws in the planemaker’s quality processes.
Boeing earlier this summer increased output of its 787 Dreamliner to a seven-jet monthly pace following a similar FAA review.
O’Leary said that despite the progress at Boeing, he accepted the planes early partly because he still has concerns about the durability of its comeback.
“We’re worried about tariffs but also we’re worried something else might go wrong with Boeing,” he said. “So get them in early. It’s a good sign Boeing want to deliver these aircraft early.”
More stories like this are available on bloomberg.com
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Published on August 28, 2025