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Global supply chain disruptions are straining the plane maker and its suppliers as demand picks up. These disruptions are driving up costs and hampering the aerospace industry’s recovery from the COVID-19 pandemic. In addition, BA has been facing delays correcting technical problems. BA has slowed production of its 787 Dreamliner as it addresses defects that are delaying its delivery of new jets..
BA shares had slumped more than 4% price on Nov. 19 in response to its 787 news. Also, investor confidence in BA appears thin following the two 737 MAX debacles in 2019 and 2020 and the company’s lingering engineering and quality issues. Moreover, because the World Health Organization warned that the new COVID-19 omicron strain is a ‘variant of concern,’ countries are considering imposing new restrictions and banning international travel, threatening global air traffic.
