Boeing 737 Max 10 set for FAA certification after years of delays

Boeing (BA) is expected to receive Federal Aviation Administration certification for its 737 Max 10 on Tuesday, clearing a major regulatory hurdle for the largest version of its best-selling aircraft family, Reuters reported, citing people familiar with the plans.

Transportation Secretary Sean Duffy is scheduled to announce the approval during a visit to Boeing's factory in Everett, Washington, where the company opened an additional 737 Max production line in July. The aircraft manufacturer also assembles the narrowbody jets in Renton, Washington. The FAA completed a final certification review on Friday, according to the report.

For investors, certification would allow Boeing to begin converting a substantial portion of its order backlog into aircraft deliveries and revenue. Airlines have ordered nearly 1,500 Max 10 jets, representing approximately 30% of the company's outstanding 737 orders. The approval would also remove a longstanding obstacle to Boeing's efforts to increase production, improve cash flow and compete with Airbus in the market for larger single-aisle aircraft.

The Max 10, which offers greater passenger capacity than other 737 variants, is an important part of fleet expansion plans at United Airlines (UAL), Delta Air Lines (DAL), American Airlines (AAL), Alaska Air Group (ALK) and Ryanair (RYAAY)(RYAOF).

Boeing originally expected to begin delivering the aircraft in 2020, but certification was delayed by heightened regulatory scrutiny and technical issues. Problems involving engine anti-icing systems and a more recent navigation software update complicated the approval process, although the FAA determined that the software issue did not prevent certification.

Boeing has faced tighter regulatory oversight following two fatal 737 Max 8 crashes in 2018 and 2019 and a January 2024 incident involving a cabin panel that detached from an Alaska Airlines Max 9 during flight. The FAA approved the smaller Max 7 in August after a review lasting more than eight years.

Boeing (BA) is also seeking certification for its 777-9 widebody aircraft, which is running six years behind schedule and is expected to enter service in 2027.