On Friday, the Federal Aviation Administration (FAA) announced the certification of General Dynamics Corp’s Gulfstream G700 business aircraft, bringing much-needed competition to the luxury jet market. Gulfstream had initially anticipated obtaining certification for this large-cabin jet in late 2023 and had plans to deliver 19 of the aircraft.
The certification process for new aircraft in the United States has come under increased scrutiny following the tragic crashes of two Boeing 737 MAX flights in 2018 and 2019. The industry anticipates continued scrutiny after an incident involving an Alaska Airlines MAX 9 in January. Gulfstream President Mark Burns had foreseen the FAA requesting more information during the G700 certification, given the previous crashes, but did not expect any unreasonable demands.
Despite sustained customer interest in private planes following a surge during the COVID-19 pandemic, slowing global growth in 2024 and the availability of pre-owned aircraft could impact demand. Meanwhile, Boeing has been awaiting certification for its Boeing 737 MAX 7 and MAX 10 models for several years and now faces additional challenges after withdrawing a safety exemption request in January that could have hastened approval for the MAX 7.