Boeing has resumed production of its popular 737 Max plane for the first time since a seven-week strike involving 33,000 workers ended in early November. The company announced on Tuesday that plane assembly had restarted at its Renton, Washington plant after completing worker training and addressing potential issues.
Boeing’s stock saw a 4.5% increase, marking its best single-day gain in nearly four months.
Production and deliveries of the 737 Max and the 787 Dreamliner have been halted multiple times in recent years due to manufacturing issues.
In a statement, Boeing said, “Our team has worked methodically to restart factory operations in the Pacific Northwest. We have now resumed 737 production at our Renton facility, and our Everett programs are on track to follow in the coming days.”
Boeing manufactures its 777 and 767 jets in Everett, located north of Seattle.
In a separate update, the company announced it received orders for 49 planes in November but lost an order from U.K. carrier TUI for 14 737 Max jets. Boeing delivered 13 planes during the month, a significant drop from 56 deliveries the previous year.
Following an incident in January where a door plug detached from a 737 Max operated by Alaska Airlines, the Federal Aviation Administration (FAA) imposed a limit on Boeing’s production of Max jets to 38 per month. Boeing is working to address quality and safety concerns and aims to persuade regulators to raise its production cap to 56 planes per month.
Boeing has been facing financial losses since 2019, following two fatal crashes involving its 737 Max jets that claimed the lives of 346 people. The company urgently needs revenue from delivering new planes to recover from its significant financial struggles.
New CEO Kelly Ortberg has revealed plans to lay off around 17,000 employees and issue new stock in an effort to raise funds and prevent the company’s credit rating from dropping to junk status.