Boeing has already initiated a range of cost-cutting plans as it grapples with dwindling reserves and low output.

Talks collapsed with both parties locked in an acrimonious stalemate showing no signs of a rapid solution.

If the strike continues toward the end of the year, a credit rating downgrade is more likely, according to S&P. 

By 2054, JKIA is expected to handle 32 million passengers and nearly one million tons of cargo, compared to 8.6 million passengers and 367,000 tons of cargo currently.

Boeing CEO Kelly Ortberg had previously pleaded with workers not to go on strike, saying the action would put the company’s “recovery in jeopardy.”

Aviation is one of the heaviest-emitting industries, and among the most difficult to decarbonize.

A stoppage would also halt the airline’s cargo operations, which carry commercial goods, perishable items and components for manufacturers.

The FAA capped output of Boeing’s 737 Max at a rate of 38 per month in the wake of a January 2024 near-catastrophe, in which a door cover blew off during flight.

The company’s credit rating is on the edge of being cut below investment grade, and output of the 737 model has been capped by regulators.

Airline says 15 jets need new part after Rolls-Royce engine problem.