Canada Grounds Boeing Jet as FAA Loses Key Ally: 737 Max Update
Canada suspended flights on Boeing Co.’s 737 Max, joining a global rush to ground the single-aisle jetliner after the second deadly crash in five months.
The safety notice restricts the 737 Max 8 and Max 9 from operating or overflying Canada, Transport Minister Marc Garneau told reporters Wednesday. The decision was based on new and inconclusive satellite data that suggests similarities between a fatal Ethiopian Airlines crash March 10 and a deadly October accident in Indonesia.
Boeing reversed an earlier gain on the news, falling 0.5 percent at 12:02 p.m. in New York. The decision came a day after the U.S. Federal Aviation Administration reiterated its view that there is “no basis’’ for grounding Boeing’s best-selling plane. The jet’s operations have already been blocked by regulators in China, the European Union and a slew of other countries.
Investigators are still trying to determine why an Ethiopian Airlines 737 Max 8 plunged to the ground near Addis Ababa, killing 157. That occurred less than five months after a Lion Air plane of the same type slammed into the Java Sea off the coast of Indonesia.