Lion Air Contemplates Cancelling a $22 Billion Boeing Deal After the 737 MAX Tragedy
The Fallout Begins
Imagine a company that’s built its empire on 737s now staring at the possibility of walking away from a major buyer — thanks to a tragic crash that killed 189 souls. The co‑founder of Lion Air, Rusdi Kirana, is fuming over Boeing’s attempts to point the finger at the airline, while the entire “maintenance mystery” saga lurks in the background.
Orders on the Line
- $22 billion worth of unsold Boeing jets waiting to hit the runway.
- They also hold 197 fully delivered 737s.
- One of the largest U.S. export customers in the skies.
- Cancellation talks could trigger a heavyweight negotiation — a move that may put a dent in Boeing’s dealer psychology.
Boeing’s Defense and the “Software” Show
Boeing’s spokesperson came out saying it’s “exhaustively investigating every angle” and stands by its design. Yet the company has been slapped with accusations it forgot to mention the controversial MCAS system in the pilot’s manual. The answer? “We’ve got all the info; pilots are trained to kill the pesky nose‑down autopilot when it misreads the sensors.”
Questions still linger about maintenance lapses that carried out the flight’s predecessor, and about why Boeing keeps tweaking software when supposedly nothing’s wrong.
Kirana’s Calculated Move
The former co‑founder, now Indonesia’s envoy to Malaysia, is stepping up his analysis. His staff warned that the company might cancel orders “starting with the next delivery”. Even though no final verdict is pending, the air tension is palpable. The airline’s decision could be a bargaining chip to force Boeing into concessions—though most aerospace firms are notoriously reluctant to accept unilateral pull‑outs.
What’s at Stake?
- Enormous financial ripple effects for both sides.
- A chilling precedent for airlines dealing with supplier wars after accidents.
- Proving who’s accountable for the tragic loss of 189 lives.
Past Conflicts Remind Us
Lion Air isn’t the first to clash with its supplier after a disaster. AirAsia fought with Airbus after a 2014 crash of its Indonesian subsidiary’s A320, while still taking deliveries—though the friendship never fully healed. It could be a similar story for Lion Air and Boeing.
Bottom Line
The world watches closely as Lion Air weighs a huge financial gamble against an airplane manufacturer amid a crash investigation that shears as deep as it gets. Whether the airline walks it off or rides the deal through, the stakes are high and the narrative will be impossible to ignore.