Qatar Signs Launch Order for 777-8 Freighter, MOU for Max 10s

Boeing on Monday won a firm launch order for 34 of its 777-8 Freighters from Qatar Airways and signed a separate memorandum of understanding covering as many as 50 of its 737 Max 10s for the Qatari national carrier. Signed during a White House ceremony attended by Qatari Ambassador Sheikh Mishaal bin Hamad Al Thani, U.S. Commerce Secretary Gina Raimando, Boeing CEO Dave Calhoun, and Qatar Airways CEO Akbar Al Baker, the contracts also call for options on another 16 of the newest 777X variant, raising the potential value of the freighter deal to more than $20 billion at list prices and marking the largest freighter commitment by value in Boeing's history. Meanwhile, the value of the MOU for the 737 Maxes, which specifies a firm order for 25 and options on another 25, could total $7 billion.

Twenty of the order for the 777-8Fs result from a conversion of part of a previous order for 60 of Boeing's 777X passenger aircraft. Qatar Airways also ordered two current 777s to more immediately capitalize on the buoyant air cargo market. Boeing expects to deliver the first 777-8F in 2027, some four years after the expected certification of the 777-9 passenger airplane.

The newly launched 777-8F will have a payload capacity nearly identical to that of the 747-400 Freighter and offer a 25 percent improvement in operating costs, said Boeing. Capable of flying to a range of 4,410 nm, the 777-8 Freighter carries a maximum structural payload of 118 tonnes, allowing customers to make fewer stops and reduce landing fees on long-haul routes.

"Boeing has a long history of building market-leading freighter aircraft and Qatar Airways is honored to have the opportunity to be the launch customer for the 777-8 Freighter, an aircraft that will not only allow us to further enhance our product offering for our customers but also help us meet our objectives to deliver a sustainable future for our business," said Al Baker in a written statement. "Today marks a great day in the ever-building and strong relationship between Qatar Airways and Boeing. We certainly push Boeing hard to deliver upon our expectations, and the team at Boeing consistently strives to meet and exceed our expectations, giving the opportunity for us to be here today to launch the most significant new freighter aircraft for a generation."

Qatar Airways' relationship with Boeing appears likely to tighten amid the well-publicized feud between the airline and Airbus over surface imperfections in 21 of Qatar's A350s. Following a public exchange of barbs over the issue, Airbus confirmed on January 21 that it has canceled Qatar's order for 50 A321neos. The sides await the start of a hearing in London's High Court in April to address Qatar's claim of $600 million in compensation.

"Qatar Airways very much looks forward to adding the 737-10 to its fleet, with this new variant of the 737 being ideally suited to our short-haul network, allowing us an opportunity to further enhance our product offering for our customers, modernize our fleet and operate the most efficient aircraft in its category," said Al Baker.

Boeing flew the first 737 Max 10 prototype last June. The company expects the largest Max variant to win certification in 2023.