Boeing (BA.US) faces plane issues and NASA's spacecraft rejection.

After nearly three months of evaluation, NASA made its final decision last Saturday: Astronauts Butch Wilmore and Suni Williams will return to Earth in February next year aboard SpaceX's Crew Dragon spacecraft, rather than Boeing's Starliner spacecraft. The Starliner spacecraft is scheduled to detach from the International Space Station in early September and return unmanned to the desert of New Mexico. Originally, the two astronauts were expected to oversee this critical return mission.

This decision signifies a significant shift in the attitudes of NASA and Boeing, as they had previously insisted on the Starliner as the priority option. However, due to propulsion system issues with the Starliner, NASA ultimately decided against using it for a manned return. NASA Administrator Bill Nelson stated in a press conference that Boeing and NASA worked together to provide the data needed to make this decision. He emphasized that the decision was based on a commitment to safety and expressed hopes for better understanding the root of the issues and making design improvements to turn the Starliner into a reliable manned spacecraft.

Despite the challenges, NASA officials continue to express support for Boeing. Nelson stated he is "100% confident" that the Starliner will be capable of manned launches in the future. Boeing also emphasized in a statement that they will continue to prioritize the safety of astronauts and spacecraft and are preparing for the unmanned return mission.

The setback in the space sector undoubtedly adds to Boeing's troubles. Since the Starliner entered the International Space Station in early June, it has encountered propulsion failures and helium leaks, causing delays in the return schedule. The propulsion issues remain unresolved, posing a significant challenge for both Boeing and NASA. NASA had initially planned to use this test flight to achieve competition and alternation between Boeing and SpaceX for International Space Station missions, but the emerging issues have temporarily shelved this plan.

Meanwhile, Boeing has also been facing quality issues in its commercial airplane business. In January this year, a cabin panel explosion occurred mid-flight on a Boeing 737 MAX 9 jet, causing production slowdowns and a management reshuffle. In March, a LATAM Airlines Boeing 787 Dreamliner nosedived mid-flight, injuring over 50 passengers. The FAA has issued inspection requirements for Boeing's 787 model.

Boeing's woes continue. Last week, during the maiden flight of the 777X aircraft, a structural crack was discovered, leading to the grounding of the test fleet. This series of problems has put Boeing in crisis since the beginning of the year, with its stock price plummeting by over 30%. Facing this situation, Boeing needs to make substantial technical and managerial adjustments to regain market trust.