FAA exempts Boeing from 2028 emissions rule, allowing 35 extra 777 freighters
The Federal Aviation Administration last week granted Boeing an exemption to produce 35 additional 777 freighter aircraft beyond the Jan. 1, 2028 international deadline mandating cleaner engines. Boeing estimates that without the exemption it would lose more than $15 billion in export sales.
Under the Biden administration, the FAA in early 2024 issued a rule to reduce carbon pollution emitted by large aircraft flying in U.S. airspace, essentially adopting the ICAO standard in U.S. law. The rule only applied to new aircraft, not aircraft produced prior to Dec. 31, 2027 and already in service. Boeing petitioned the FAA for an exemption by April 2026 so it could maintain uninterrupted production while it finalizes development of a successor freighter that complies with new standards. The 777 is a large widebody freighter primarily used by cargo airlines such as FedEx, DHL and Lufthansa Cargo on long‑haul, intercontinental routes. Freighters are currently handling about 60% of total air cargo volume, while air cargo volume is up more than 4.7% year over year through August and spot rates have risen more than 25% from the prior year.
Under the Biden administration, the FAA in early 2024 issued a rule to reduce carbon pollution emitted by large aircraft flying in U.S. airspace, essentially adopting the ICAO standard in U.S. law. The rule only applied to new aircraft, not aircraft produced prior to Dec. 31, 2027 and already in service. Boeing petitioned the FAA for an exemption by April 2026 so it could maintain uninterrupted production while it finalizes development of a successor freighter that complies with new standards.
What we know
35 additional 777 freighter aircraft
Jan. 1, 2028 international deadline
more than $15 billion in export sales loss
air cargo volume up more than 4.7% year over year through August
spot rates up more than 25% from the prior year