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Garuda Indonesia to cancel Boeing 737 Max orders

Analysts fear cascade of cancellations by Asian airlines after crashes

Garuda Indonesia's lone Boeing 737 Max 8 is parked at Soekarno-Hatta International Airport near Jakarta on March 13.   © Reuters

JAKARTA -- Garuda Indonesia has moved to cancel its 49 remaining orders for Boeing 737 Max 8 jets after two other airlines suffered deadly crashes involving the aircraft, prompting a worldwide grounding.

The Indonesian flag carrier appears to be the first to formally take this step in the aftermath of the tragedies, dealing a major blow to the U.S. manufacturer and raising the prospect that other carriers will follow suit. A Garuda spokesperson said the airline sent a letter to Boeing requesting the cancellation due to "low confidence of our passengers" in the model.

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