American aircraft giant Boeing will cut the production of its popular 747-8 Jumbo Jet model because of weak demand.
Boeing said in a statement that it would reduce production from 1.75 to 1.5 planes a month till 2015 because of lower market demand for large passenger and freight aircraft.
"This production adjustment better aligns us with near-term demand while stabilising our production flow, and better positions the programme to offer the 747-8's compelling economics and performance when the market recovers," said Eric Lindblad, Vice President and GM of the 747 programme.
"Although we are making a small adjustment to our production rate, it doesn't change our confidence in the 747-8 or our commitment to the program," he said.
Boeing expects long-term average growth in the air cargo market will return in 2014, and forecasts a global demand for 760 large airplanes (such as the 747-8) valued at USD 280 billion, over the next 20 years.
So far, Boeing has received 107 orders for passenger and cargo versions of the Jumbo Jet, of which 56 have been delivered. The first delivery at the new production rate is expected in early 2014.
The Boeing 747 was the first wide-body commercial jet ever produced. First flown commercially in 1970, the 747 held the passenger capacity record for 37 years.
