Boeing stock rises after partial restoration of FAA certification authority

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Boeing shares jumped 4.3% Friday morning after the Federal Aviation Administration announced it will partially restore the company’s authority to issue airworthiness certificates for certain 737 MAX and 787 airplanes. These certificates confirm that an aircraft meets safety standards and is cleared to fly.

Starting Monday, September 29, Boeing will alternate with the FAA in issuing certificates. Under this new arrangement, Boeing will handle certification one week, and the FAA the next. The agency emphasized that the decision follows a “thorough review” of Boeing’s production quality and that safety remains the top priority.

The move marks a major milestone in Boeing’s long recovery from multiple safety crises. In 2019, following two deadly 737 MAX crashes, the FAA took over the final safety inspections for Boeing airplanes, a responsibility usually delegated to the manufacturer. Boeing lost the authority to issue certificates for 737 MAX planes during their return to service and for 787s in 2022 due to production quality concerns.

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In May, the FAA renewed Boeing’s Organization Designation Authorization for three years, which allows the company to perform certain certification functions on behalf of the agency. The partial restoration of certificate authority now gives Boeing more operational flexibility while keeping FAA oversight intact.

The FAA said inspectors will continue rigorous supervision of Boeing’s production processes. They will monitor critical assembly stages, examine trends, assess the company’s Safety Management System, and observe the safety culture to ensure employees can report problems without fear of retaliation.

This step is seen as a vote of confidence in Boeing’s ongoing efforts to improve production quality and strengthen safety practices, signaling gradual progress in the company’s post-crisis recovery.