US President Donald Trump has announced that the US would be issuing an 'emergency order to ground all Boeing 737 Max 8 and the 737 Max 9, and planes associated with that line,' in the wake of the Ethiopian Airlines disaster.
A growing number of airlines around the world have grounded their Boeing 737 Max 8 jets following the crash of an Ethiopian Airlines plane that killed 157 people on Sunday, five months after a similar Indonesian Lion Air jet plunged into the ocean, killing 189.
After Trump's announcement, Boeing said it was supporting a worldwide ban on all 737 Max aircraft.
Boeing's stock price continues to decline in US trading , having lost more than 3 per cent and dropping to below $USD364 ($514) per share, a dip of more than $USD11 since trading opened.
The US aviation multinational giant lost $USD12.7 billion in market value on Monday, according to The Wall Street Journal
Australia has announced a temporary ban on flights by Boeing 737 Max aircraft, although none of its airlines currently operate them.
Trump said that both the US Federal Aviation Authority and Boeing were 'in agreement with the action,' and any planes currently in the air would continue to their destination where they will be grounded.
'Pilots have been notified, airlines have been all notified. Airlines are agreeing with this. The safety of the American people and all people is our paramount concern,' Trump said.
Australia's Civil Aviation Safety Authority said yesterday that the ban will affect two foreign airlines — SilkAir and Fiji Airways — that use them for flights to Australia.
The authority said Singapore's SilkAir has already grounded its 737 Max jets, and that it is working with regulators there and in Fiji to minimise disruptions.
It said that Fiji Airways has two 737 Max 8 jets in its fleet. Fiji Airways and Fiji's Civil Aviation Authority said they would ground the fleet until more information is known about the cause of the Ethiopian Airlines accident.
Virgin Australia is also 'closely watching the situation' after ordering 30 of the planes for its fleet.
A spokesman for the airline said: 'Virgin Australia will not introduce any new aircraft to the fleet unless we are completely satisfied with its safety.
'There are currently no Boeing 737 Max 8 aircraft in our fleet.
'We are closely monitoring the situation and will continue to work with Boeing, CASA, and other relevant authorities as more information becomes available.'
Air Canada, one of a few carriers still flying the Boeing 737 Max,
said it would follow Transport Canada's safety notice that bans the plane from Canadian airspace and work to rebook its passengers on other available aircraft.