Malaysia Aviation Group Announces Order for up to 60 Boeing 737 MAX Airplanes

Rhea-AI Summary

Malaysia Aviation Group has placed an order for 30 Boeing 737 MAX aircraft, including 18 737-8 and 12 737-10 jets. The order, booked in January 2025, aims to modernize Malaysia Airlines' fleet with more fuel-efficient planes.

The investment will enable the airline to introduce new lie-flat seats and meet growing travel demand in Southeast Asia. The 737 MAX aircraft offer 20% reduction in fuel use and emissions, providing the best per-seat economics in their class.

This order strengthens Boeing's long-standing partnership with Malaysia Airlines, which has operated nearly every variant of the 737 family since introducing its first 737-100 in 1969. The deal is particularly significant as Southeast Asia's airplane fleet is projected to grow nearly 250% over the next 20 years, with nearly 80% of the 4,700 new deliveries expected to be single-aisle jets.

Positive

• Significant fleet expansion with 30 new aircraft order
• 20% reduction in fuel use and emissions with new aircraft
• Enhanced passenger capacity and premium offerings with lie-flat seats
• Operational cost efficiency through fleet commonality

Negative

• Large capital investment required for fleet acquisition

News Market Reaction

+3.06%

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+3.06% News Effect

On the day this news was published, BA gained 3.06%, reflecting a moderate positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

KUALA LUMPUR, Malaysia, March 21, 2025 /PRNewswire/ -- Boeing [NYSE: BA] and Malaysia Aviation Group today announced an order for 18 737-8 and 12 737-10 single-aisle jets to renew Malaysia Airlines' fleet with more fuel-efficient airplanes. The order, which booked in January 2025 and was posted as unidentified on Boeing's orders and deliveries website, will enable Malaysia's flag carrier to introduce new lie-flat seats and meet growing travel demand in Southeast Asia – one of the fastest-growing commercial aviation markets.

The region's airplane fleet is projected to grow nearly 250% over the next 20 years, underscoring the importance of Malaysia Aviation Group's investment in the 737-8's versatility and the 737-10's capacity as the largest member of the 737 MAX family.

"This is a significant investment for Malaysia Aviation Group, enabling us to deliver cutting-edge premium cabin offerings and state-of-the-art technology to our customers," said Izham Ismail, group managing director of Malaysia Aviation Group. "The addition of these new airplanes will not only enhance our fleet's efficiency and increase seating capacity, but allow us to elevate the overall inflight experience, with our passengers' needs at the forefront." 

The Boeing 737 has served as the backbone of Malaysia Airlines' single-aisle fleet for nearly 60 years following the introduction of its first 737-100 in 1969. Malaysia Airlines has since operated nearly every variant of the 737 family and will continue that legacy with this latest order for the 737 MAX.

"Today's announcement represents another milestone in Boeing's long-standing partnership with Malaysia and reflects our enduring commitment to the country's aerospace sector," said Dr. Brendan Nelson AO, president of Boeing Global. "The opportunity to introduce more Boeing airplanes in Malaysia is a point of pride for our many Malaysian employees who contribute to every airplane Boeing builds and delivers to customers around the world."

With more than 50 737 jets in Malaysia Airlines' fleet, the introduction of additional 737-8s and the 737-10 offers operational commonality and the best per-seat economics in their class, reducing fuel use and emissions by 20%.

"We are honored to build upon our valued partnership with Malaysia Aviation Group and support them in modernizing their fleet," said Brad McMullen, Boeing senior vice president of Commercial Sales and Marketing. "Adding the 737-8 and 737-10 will equip Malaysia Airlines with the operational flexibility, environmental performance and additional capacity they need to better serve a growing number of passengers."

Passenger air traffic across Southeast Asia will more than triple over the next 20 years, as projected in Boeing's Commercial Market Outlook, the company's long-term demand forecast for commercial airplanes and services. Of the more than 4,700 new airplanes expected to be delivered to the region's operators through 2043, nearly 80% will be single-aisle jets, such as the 737 MAX family.

Boeing's presence in Malaysia includes Boeing Composites Malaysia, the company's first wholly owned manufacturing facility in Southeast Asia with an all-Malaysian workforce. The facility provides composite products and subassemblies for all Boeing commercial airplanes, including the 737 MAX. Boeing supports the development of aerospace capabilities in Malaysia through safety training, sustainability workshops, supply chain development, university collaborations and community support initiatives.

About Malaysia Aviation Group
Malaysia Aviation Group (MAG) is a global aviation organisation comprising three focused business portfolios: Airlines Business, Loyalty & Travel Services (LTS), and Aviation Services. The airlines portfolio includes Malaysia Airlines, Firefly, MASwings, and AMAL by Malaysia Airlines. The Aviation Services portfolio consists of MAB Engineering, MASkargo, AeroDarat Services, and MAB Academy. The LTS portfolio offers travel services and loyalty programs through Journify, Enrich and MHholidays. MAG aims to become Asia's leading travel and aviation services group, providing customised end-to-end travel solutions.

About Boeing
A leading global aerospace company and top U.S. exporter, Boeing develops, manufactures and services commercial airplanes, defense products and space systems for customers in more than 150 countries. Our U.S. and global workforce and supplier base drive innovation, economic opportunity, sustainability and community impact. Boeing is committed to fostering a culture based on our core values of safety, quality and integrity.

Contact
Boeing Media Relations
media@boeing.com 

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SOURCE Boeing

FAQ

How many Boeing 737 MAX aircraft did Malaysia Aviation Group order in January 2025?

Malaysia Aviation Group ordered 30 Boeing 737 MAX aircraft: 18 737-8 and 12 737-10 jets.

What fuel efficiency improvements will the new BA 737 MAX aircraft provide to Malaysia Airlines?

The new Boeing 737 MAX aircraft will reduce fuel use and emissions by 20% compared to previous models.

How will the Boeing BA 737 MAX order impact Malaysia Airlines' passenger experience?

The order will enable Malaysia Airlines to introduce new lie-flat seats and increase seating capacity, enhancing the overall inflight experience.

What is Boeing's BA market outlook for Southeast Asia's aviation growth?

Boeing projects Southeast Asia's airplane fleet to grow 250% over 20 years, with 4,700 new deliveries expected, 80% being single-aisle jets.

When did Malaysia Airlines first start operating Boeing 737 aircraft?

Malaysia Airlines began operating Boeing 737 aircraft in 1969 with its first 737-100 model.