Friday, 22 March 2019

Garuda Indonesia cancels its 49 Boeing 737 MAX 8 purchase orders

Report by : Gan Yung Chyan
                  / KUCINTA SETIA



According to the CEO and Director of Garuda Indonesia, Gusti Ngurah Askhara Danadiputra, he has issued the airline's 737 MAX 8 purchase order cancellation letter to Boeing on 21 March 2019. 

Boeing could not be reached for comment.

Garuda Indonesia has 49 737 MAX 8 aircraft orders with Boeing. 

Although Garuda Indonesia's sole 737 MAX 8 is grounded, Gusti said the airline is able to find a buyer or aircraft leasing firm to sell away the 737 MAX 8 or even sell it back to Boeing! This aircraft previously operated direct flights from Jakarta to Singapore and within Indonesia and it is replaced by B737-800.

Gusti explains that following the crashes of Lion Air and Ethiopian Airlines 737 MAX 8 aircraft, his customers have lost faith in the technical reliability of 737 MAX 8. Even if the flaw of the aircraft has been rectified, his passengers will still not buy Garuda Indonesia tickets to board the aircraft.

Hence, Garuda Indonesia becomes the first airline in the world to cancel its 737 MAX 8 purchase orders. 

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