Key facts
- Boeing supplier dispute has halted 777 freighter production for nearly two months.
Boeing's dispute with supplier Vaero has halted production of its 777 freighter for nearly two months and disrupted output of the 767, according to Boeing workers and court filings. The disruption, which began in August, is costing Boeing as much as $6.5 million a day.
Boeing's production of the 777 freighter and 767 aircraft has been significantly impacted by a dispute with a single supplier, highlighting the fragility of aerospace supply chains and the potential for disruptions to aircraft deliveries.
Boeing's dispute with Florida-based supplier Vaero has halted production of its 777 freighter for nearly two months and disrupted output of the 767, including freighters and KC-46 aerial refueling tankers, according to Boeing workers and court filings. Boeing filed a complaint in August alleging supplier Vaero had stopped delivering a critical wing component known as the trailing-edge rib kit, stalling work at the Everett, Washington, wing-production facility that supports the 777 freighter and 767 programs. The disruption was costing Boeing as much as $6.5 million a day, the complaint said. Although the companies reached a settlement in late September, production of the 777 freighter has yet to resume, according to three Boeing workers familiar with the matter. The dispute also disrupted production of the 767. Boeing is trying to bring production of the trailing-edge rib kit in-house.
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