Avolon cancels order for Boeing 737 MAX jets

Aircraft leaser Avolon has canceled an order for 75 Boeing 737 MAX jets that were set to be delivered across 2020-23 because of the deep impact of the coronavirus pandemic on the aviation industry.

The industry is facing a $252bn year-on-year loss in passenger revenue, according to Avolon.

Production of the 737 MAX jet generates about 30,000lbs of titanium scrap. The cancelled order would have produced 2.25mn lbs of titanium scrap over the three-year time frame.

Avolon has reduced its 2020-23 aircraft commitment from 284 at the end of 2019, to 165 aircraft at the end of the first quarter 2020.

Boeing halted production of the 737 MAX in January as it seeks to re-certify it to return to service after it was grounded in March 2019 following two deadly crashes. Boeing has about 400 of the aircraft in storage awaiting delivery.

By Andrew Saucer