Boeing shares plunge 8% after Air India flight crashes minutes after takeoff in Ahmedabad

Boeing shares tumbled nearly 8% in premarket US trading on June 12 after a catastrophic crash involving an Air India Dreamliner shortly after takeoff from Ahmedabad, reigniting concerns over the aircraft manufacturer's safety track record.

The ill-fated aircraft, a Boeing 787-8 Dreamliner — one of the most advanced commercial jets in the skies — was carrying 242 people, including crew, when it went down minutes after departing for Gatwick Airport, UK. The crash reportedly occurred in a civilian area near the airport, according to local police, though the extent of casualties remains unclear.

Aviation monitoring platform Flightradar24 confirmed the aircraft model, while Air India stated the plane had just initiated its international journey when the incident occurred. Boeing, in a brief statement, said it is “aware of the incident” and is “working to gather more information.”

The timing of the crash is particularly damaging for Boeing, which is already battling a battered reputation over past safety failures and is currently undergoing internal restructuring under new Chief Executive Officer Kelly Orthberg. The CEO who took the helm to restore stakeholder confidence and streamline jet production, now faces an immediate crisis.

“It's a knee-jerk market reaction, but it revives deep-rooted fears around Boeing’s safety culture and operational reliability,” said Chris Beauchamp, a senior market analyst at IG Group.

Boeing stock was trading at $196.52, down 8%, as investors braced for potential fallout from investigations and renewed scrutiny.

The cause of the crash has not been officially determined. Aviation regulators and Boeing teams are expected to launch an immediate probe as more details emerge.