Boeing shares drop following fatal South Korea crash

By Al Mayadeen English
Source: News websites
30 Dec 2024 22:13

Boeing's shares have significantly dropped following the crash of one of its planes in South Korea, which killed almost everyone on board.

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Rescue team members work at the site of a plane fire at Muan International Airport in Muan, South Korea, Monday, December 30, 2024. (AP)

Boeing's shares dropped by 5% on Monday, as seen in early trading in New York, following the fatal crash of its 737-800 plane in South Korea, which killed 179 of the 181 passengers and crew on board.

All but two of the 181 passengers on board the Jeju Air flight from Bangkok were announced dead after the plane crashed while attempting an emergency landing at Muan International Airport in South Korea, Yonhap News reported on Sunday.

Eyewitnesses described hearing loud bangs moments before the aircraft collided with the airport's perimeter wall, splitting into two pieces and erupting in flames. Footage broadcasted by MBC suggests a possible bird strike as the plane descended.

In light of the crash, the South Korean transportation ministry said it would carry out inspections for the 101 Boeing 737-800s operated by the country's airlines, set to start on Monday and end on Friday.

Deputy Transport Minister Joo Jong-wan said inspections would be focused on examining maintenance records of major systems, including engines and landing gear. Meanwhile, Boeing said it was in contact with Jeju Air and was ready to assist the airline.

It is worth noting that Jeju Air's stocks fell by 8.7% at the close of trading in Seoul, hitting a record low.

“The accident’s root cause could be among several factors,” said Myles Walton, an analyst at Wolfe Research, adding that issues with workmanship or design were unlikely to be responsible. However, he emphasized that the rare but occasionally catastrophic accidents in commercial aerospace pose distinct risks for aircraft manufacturers such as Boeing.