New York, June 16, 2025 — Boeing shares tumbled more than 5% on Monday following the deadly crash of Air India Flight 171, which killed over 200 people in Ahmedabad on Sunday. The aircraft, a Boeing 787-8 Dreamliner, was en route to London when it crashed shortly after takeoff, also claiming dozens of lives on the ground.

The tragedy has reignited concerns over Boeing’s safety record, just weeks after the company reached a controversial agreement with the U.S. Department of Justice that allowed it to avoid criminal prosecution related to earlier safety lapses.

The drop ends a brief rally in Boeing’s stock price, which had been recovering after years of production delays, quality control issues, and two major crashes involving the 737 MAX series.

Industry analysts say the Air India crash could have lasting implications for Boeing’s Dreamliner program and its global reputation, especially in fast-growing aviation markets like India.

“Even with the DOJ deal in place, every new incident erodes confidence and creates fresh legal, commercial, and regulatory risks,” said Rebecca Lin, an aerospace sector analyst at Meridian Capital.

Boeing has yet to release a formal statement on the crash, though Indian authorities confirmed that the aircraft’s black box was recovered and a full investigation is underway.

On Friday, the regulator instructed Air India to conduct enhanced maintenance checks on its Boeing 787-8 and 787-9 aircraft powered by GEnx engines. These inspections include evaluations of take-off parameters, electronic engine control systems, and engine fuel mechanisms.

“We’ve issued orders for extended surveillance of all 787 aircraft in the country,” said Naidu during a press conference in New Delhi. “Out of the 34 planes in India, eight have already undergone inspection. The rest will be checked urgently.”

Naidu did not clarify whether government inspectors would be physically present during the aircraft checks.

The fatal crash occurred on Thursday, shortly after the Boeing 787-8 Dreamliner took off en route to Gatwick Airport in the UK. The aircraft, carrying 242 people, lost altitude moments after departure and exploded upon impact with buildings, marking the deadliest aviation disaster globally in over ten years.

Air India operates 33 of the Boeing 787 aircraft, while low-cost airline IndiGo has one, according to flight tracking data. IndiGo has not issued any public response.

Air India stated that it is in the process of completing the one-time safety evaluations ordered by regulators. The airline acknowledged that the checks may increase turnaround times and potentially delay some long-haul flights. As of now, the fleet has not been grounded, though government sources have indicated that grounding the planes is being considered.

Authorities are investigating a range of factors that may have led to the crash, including possible issues with engine thrust, flap settings, and why the landing gear did not retract after take-off.

At least 270 bodies have been recovered from the crash site, according to a senior official at B.J. Medical College. Only one person on board survived, while the others perished when the aircraft struck a hostel building associated with the medical college.

The incident is a major setback for Air India, which has been undergoing efforts to modernize and restore its image since being acquired by the Tata Group in 2022. Tata Group’s chairman has expressed a commitment to uncovering the cause of the disaster, stating that the facts remain unclear at this point.

A government-appointed panel is currently investigating the incident and is expected to publish a full report within three months. “We will take every necessary step to enhance safety,” Naidu emphasized, while declining to answer further questions.

Recovery and Identification Efforts Underway

On Saturday, authorities removed the aircraft’s tail section that had become lodged atop a building. Rescue teams also recovered the remains of a crew member from the debris.

Air India announced it will provide an emergency payment of ₹2.5 million (approximately $29,000) to the families of each victim and the lone survivor. This comes in addition to ₹10 million in support earlier promised by the Tata Group.

Efforts are underway to return the remains and belongings of the victims to their families. Air India’s CEO Campbell Wilson stated that the repatriation process has begun, with bodies gradually being identified and released.

At Ahmedabad’s Civil Hospital, doctors have been working around the clock to match dental samples with victims’ records for DNA profiling. So far, 11 matches have been confirmed, and authorities expect to hand over three bodies by Saturday evening, according to senior official Rajnish Patel.

The slow pace of identification has left grieving families increasingly distressed. Rafiq Abdul Hafiz Memon, who lost four relatives, expressed frustration over the lack of information. “We just want to know when we can take our loved ones home,” he said.

Another grieving parent said he was told it could take up to 72 hours for DNA confirmation. “We know they are trying, but it’s hard to wait,” he added.

Many of the bodies were severely burned, making identification challenging. Forensic teams are relying on dental charts, radiographs, and other prior records to make matches. Jaishankar Pillai, a forensic dentist involved in the process, confirmed they have the dental records of 135 victims.

Even medical staff are struggling with the emotional toll. “We’ve lost friends and colleagues. This is incredibly hard on all of us,” said one doctor, requesting anonymity.