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You are at:Home » Boeing bungled $3.9B Air Force One project, blew past deadline and opened door for Qatari jet offer
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Boeing bungled $3.9B Air Force One project, blew past deadline and opened door for Qatari jet offer

Press RoomBy Press RoomMay 16, 2025No Comments4 Mins Read
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Boeing bungled .9B Air Force One project, blew past deadline and opened door for Qatari jet offer
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President Donald Trump’s suggestion that he might accept a Qatari jet as a gift to serve as Air Force One spotlights a glaring question: why has Boeing missed its deadline to deliver two new presidential planes?

Boeing was supposed to deliver two converted 747s last year to replace the aging Air Force One jets that have flown presidents since the President George H.W. Bush era. However, the project is years behind schedule and billions over budget – much to Trump’s frustration. 

Boeing did not respond to a request for comment. 

Ticker Security Last Change Change %
BA THE BOEING CO. 206.24 +1.52 +0.74%

How much is the government paying Boeing?

The Air Force awarded Boeing a $3.9 billion fixed-price contract in July 2018 for two highly customized 747-8s, following months of negotiation. That price was intended to be final — meaning Boeing, not taxpayers, would absorb any cost overruns.

The planes were to be equipped with cutting-edge defenses and communications systems, anti-missile technology, protection against hacking and the ability to operate during nuclear fallout.

WH ANNOUNCES $1.2T IN ECONOMIC COMMITMENT WITH QATAR, INCLUDING SIGNIFICANT BOEING ORDER

How much has Boeing lost?

Boeing has already reported more than $2.5 billion in losses on the program.

“Cost overruns or delays in delivery are certainly not a novel phenomenon,” said Abigail Hall Blanco, a defense economics professor at the University of Tampa. 

If the government were to cancel the contract, it is unclear how much of that money Boeing could recover.

“Typically, the government has wide latitude to cancel defense contracts,” Blanco said. “Now, that doesn’t mean that companies can’t seek compensation for work already done. But given the particulars of the fixed-cost contract with Boeing, it’s unclear what cancellation would actually entail.”

What’s causing the delays?

Boeing has cited a range of issues – from the bankruptcy of a key supplier to staffing shortages and pandemic-era supply chain problems.

“They’ve been having problems with this program for quite some time,” said Greg Williams, a defense expert at the Project on Government Oversight. “That includes building components incorrectly and having to tear them down and rebuild them, to design changes requiring rework, and trouble hiring and retaining skilled workers.”

Adding to the challenge: anyone working on Air Force One must have a high-level security clearance.

“It requires a very specific type of security clearance to be building something like Air Force One,” Hall said.

Darlene Costello, the Air Force’s acting assistant secretary for acquisition, technology, and logistics, told Congress on May 7 that delays stem from “interiors supplier transition, manpower limitations, and wiring design completion.”

TRUMP CONTINUES TO DEFEND QATAR GIFTING US $400M JET: ‘WE SHOULD HAVE THE MOST IMPRESSIVE PLANE’

President Donald J. Trump speaks to travelling media aboard Air Force One on a range of issues, including Syria, as he flies to Doha, Qatar on May 14, 2025

When will the planes be ready?

Officially, the Air Force and Boeing say they are aiming for 2027, but a White House estimate last month pushed the timeline back even further – to 2029 or later.

In the meantime, the Air Force is trying to accelerate production, including temporarily waiving certain clearance requirements for workers. However, a few “remaining issues” are still being negotiated between Boeing and the government, according to Costello.

Boeing’s Air Force One headache is part of a larger pattern

The Air Force One delays are just one in a string of high-profile setbacks for Boeing. The company has lost more than $35 billion since 2019, following two deadly 737 Max crashes that killed 346 people, and a door plug blowout aboard an Alaska Airlines flight in 2024.

Then there is the Starliner fiasco. Boeing’s space capsule left astronauts stranded for nine months due to propulsion problems, raising further questions about the company’s manufacturing and safety standards.

ESPIONAGE, CONSTITUTIONAL CONCERNS ABOUND FROM TRUMP DETRACTORS, ALLIES OVER QATARI JET OFFER

DOHA, QATAR - MAY 15: U.S. President Donald J. Trump speaks with Emir of Qatar Tamim bin Hamad al Thani as he departs the Al Udeid Air Base for Abu Dhabi on May 15, 2025, in Doha, Qatar

Could a Qatari jet fix the problem?

Experts say retrofitting a donated Qatari 787 for presidential use would be a massive undertaking – potentially costing close to $1 billion and taking years to complete.

“You would need to essentially disassemble it and reassemble it with all the necessary modifications,” Blanco said.

The plane would need to be outfitted with secure communications systems, missile defenses, aerial refueling capabilities, protection against electromagnetic pulse attacks, and countermeasures for electronic jamming. It would also need to be cleared of any potential surveillance hardware.

Some reports suggest that defense contractor L3Harris could handle the refit, but Boeing, as the original manufacturer, may still be best suited for the job.

“This might actually be a gift to Boeing,” said Blanco. “Given how much trouble they’ve had with the current contract, this could offer them some relief.”

Read the full article here

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Billionaire Miriam Adelson voices support for Stefanik’s New York governor campaign launch

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