After a second 737 Max plane crash in five months, Boeing Co. is struggling with a major crisis. While the investigators are looking into the crash of Ethiopian Airlines 737 Max 8, China and Indonesia have ordered carriers to ground the jets of the same group.
The Ethiopian Airlines 737 Max 8 plunged into a hillside just few minutes after takeoff on Sunday and killed 157 people on board, leaving no survivours. However, the U.S. Federal Aviation Administration on Monday said that the jet model remains airworthy.
Also read: Ethiopian Airline Crash: Boeing 737 MAX 8 jets grounded until further notice
Boeing suffered the most on Monday on the S&P 500 Index as the questions regarding the newest version of its 737 squad. The 737 family contributes to the one third of the company operating profit.
After two accidents involving the aircraft in less than five months, the Civil Aviation Authority of Singapore said all Boeing 737 Max flights will be suspended into and out of Singapore. The suspension will come into effect from 2 pm local time on March 12.
Mexico Grupo Aeromexico SAB has become the latest airline to suspend Boeing 737 Max flights. The airline said it would temporarily ground its six Max jets until it has more information about the Ethiopian Airlines disaster. However, hours later Aeromexico said it was confident in its Max fleet, confirming that their aircrafts were in perfect condition.
Previously in October, the crash of a Lion Air 737 Max off the coast of Indonesia had killed 189 passengers and crew.