Boeing shares plummeted 4.5% on Monday as South Korean officials announced an inspection of the Boeing 737-800 model linked to the deadly Jeju Air crash that killed 179 people.

The crash, which is the deadliest in South Korea in decades, has triggered immediate governmental action to inspect all Boeing 737-800 aircraft in operation within the country, raising significant concerns about the aircraft's safety. As investigations continue into the factors contributing to the accident, including a reported bird strike and malfunctioning landing gear, Boeing’s scrutiny over safety practices intensifies, further complicating its recovery from previous crises.

The Jeju Air crash occurred on a landing at Muan International Airport when the Boeing 737-800 skidded off the runway, collided with a wall, and erupted in flames. Among the 181 passengers onboard, only two survived, both of whom were crew members who sustained severe injuries. This tragic event has raised serious questions about the operational safety of the aircraft model involved.

Following the crash, South Korean officials confirmed that they would conduct thorough inspections of all Boeing 737-800 airplanes currently in service across the country. This move is part of a broader investigation into the crash, which is seen as a critical step in ensuring passenger safety and restoring public confidence in air travel.

In a statement, Boeing expressed its condolences over the incident and reaffirmed its commitment to working closely with Jeju Air concerning flight 2216. The company emphasized their focus on supporting the ongoing investigation and providing assistance to those affected by the tragedy.

The precise cause of the crash is still under investigation. Reports indicate that the aircraft crash-landed without its landing gear deployed, a concerning detail that authorities will explore further. Additionally, the presence of a bird strike prior to the incident adds another layer of complexity to the investigation, prompting safety regulators to examine protocols surrounding wildlife hazards near airports.

Over the years, Boeing has faced multiple challenges, including scandals linked to other models like the 737 Max, which faced scrutiny for fatal crashes in recent times. The ensuing investigations from these past incidents have placed Boeing under increased pressure to demonstrate its commitment to safety. This new crash will likely exacerbate concerns about the company's safety culture and operational oversight.

Despite the tragedy, Jeju Air announced that they would not suspend operations of their Boeing 737-800 fleet, though they would conduct inspections of the aircraft in light of the incident. The airline's decision reflects an effort to maintain operations while addressing safety concerns as they arise.

International cooperation in the investigation is also at play, with the U.S. National Transportation Safety Board (NTSB) assisting South Korean authorities in their inquiry. This collaboration underscores the global implications of aviation safety and the shared responsibility among nations to ensure safe air travel.

Boeing's financial challenges have been further exacerbated by the latest developments. The ongoing scrutiny over its safety practices, combined with a recent strike by West Coast factory workers, has compounded issues for the aerospace giant as it attempts to stabilize its operations. Investors are unsettled by the prospect of additional costs associated with the investigations and potential grounding of aircraft, which could negatively impact the company's earnings.

In the insurance realm, it has been reported that the aircraft involved in the Jeju Air crash was covered by a $1 billion insurance policy. This financial backing may assist the airline and families affected by the tragedy, but it cannot replace the loss of life nor mitigate the emotional impact on the victims' families.

As the investigation unfolds, the aviation industry will be closely monitoring the findings of South Korean officials and Boeing's response to these incidents. The aftermath of the crash may prompt further regulatory changes and policy shifts aimed at enhancing safety measures in aviation.