By Rajesh Kumar Singh
CHICAGO, July 16 (Reuters) – GE Aerospace CEO Larry Culp pushed back on Thursday against concerns raised by Boeing that GEnx engine delivery delays could hold up the planemaker’s 787 production ramp-up, citing a sharp increase in shipments of the engines.
GE’s deliveries of widebody engines rose 30% from a year earlier in the second quarter, with GEnx shipments increasing by “significantly more,” Culp told Reuters.
He said GE had several months’ worth of GEnx engines on site at Boeing’s factory in Charleston, South Carolina.
“So, we don’t think we’re pacing deliveries whatsoever,” he said.
Boeing CEO Kelly Ortberg has said the planemaker’s goal of raising 787 production to 10 aircraft a month from about eight depends partly on GE resolving GEnx delivery delays, as well as easing constraints involving premium-seat certifications.
Culp said GE would need to continue increasing deliveries to keep pace with the higher production rates Boeing is targeting.
“GE will support and is supporting the 787 ramp,” he said. “We’re highly motivated. We’re well aligned. There’s no debate there. We will be with them every step of the way.”
About 80% of 787s are powered by GE engines, making the program critical to the engine maker as international demand for widebody aircraft rises.
Asked whether GEnx delivery delays had been resolved and whether shipments would be even through the rest of the year, Culp said GE would work closely with Boeing to meet its requirements as 787 production increased.
He also said the civil engine supply chain had turned the corner, although deliveries would need to rise further in the second half and again next year.
(Reporting by Rajesh Kumar Singh; Editing by Chizu Nomiyama and Emelia Sithole-Matarise)
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