Boeing Co. shares fell nearly 5% on Thursday following the fatal crash of Air India Flight AI171, a Boeing 787-8 Dreamliner, shortly after takeoff from Ahmedabad’s Sardar Vallabhbhai Patel International Airport. The London-bound flight, carrying 230 passengers and 12 crew members, crashed into a densely populated area, killing 241 of the 242 people on board.
The aircraft issued a Mayday call moments after departing from runway 23 before disappearing from radar. Witnesses reported a massive fireball and thick black smoke rising near Meghaninagar, close to the airport. Victims included 169 Indian nationals, 53 British nationals, seven Portuguese, and one Canadian.
The crash—marking the first fatal incident involving the 787 Dreamliner since its introduction in 2011—has reignited safety concerns surrounding the aircraft. Boeing shares had dropped over 8% in pre-market trading before closing at $203.60, down from $214.04. Shares of key suppliers, including GE Aerospace and Spirit AeroSystems, also declined more than 2%.
Boeing CEO Kelly Ortberg expressed condolences and confirmed that a Boeing technical team is assisting with the investigation led by India’s Aircraft Accident Investigation Bureau.
The tragedy comes as a blow to Boeing’s recovery efforts under Ortberg, following a turbulent 2024 marred by safety scandals, including a high-profile door plug incident on an Alaska Airlines flight that led to leadership shakeups and intensified regulatory scrutiny.
Ortberg and Boeing Commercial Airplanes head Stephanie Pope have canceled plans to attend the upcoming Paris Air Show to focus on the aftermath of the crash and support the investigation.
While analysts from Edward Jones believe the crash may delay deliveries, they view large-scale order cancellations as unlikely given strong demand and long wait times with competitors.
Public perception remains a challenge for Boeing, with recent polls placing it near the bottom among major U.S. brands. The company is now once again tasked with proving its commitment to safety and regaining trust amid growing scrutiny.
