The U.S. Federal Aviation Administration (FAA) announced Monday that it is delaying certification of Boeing’s 737 MAX 10, the largest jet in the MAX family. Boeing shares fell more than 6% after the announcement.
The FAA said the software issue, which originated with supplier GE Aerospace, could affect the automated flight guidance system during a specific landing scenario. The agency will withhold certification until it is satisfied the problem has been resolved and poses no safety risks.
FAA Administrator Bryan Bedford did not give a timeline for the delay. The MAX 10 is a key product for Boeing and is intended to compete with Airbus’s A321neo. The setback adds uncertainty for Boeing and its airline customers.