A missive from America could leave airline companies in India in a tight spot

US aviation regulator's move to restrict an expansion in manufacturing of the controversial Boeing 737 Max aircraft could put India's airlines in a spot. 

The Federal Aviation Administration said it would not allow Boeing to expand 737 MAX production in the wake of a mid-air emergency on an Alaska Airlines jet, but the MAX 9 model involved could return to service after inspections. 

The blowout of a cabin panel on January 5 led the aviation regulator to ground 171 737 MAX 9 jets and resulted in the cancellation of thousands of flights by Alaska Airlines and United Airlines.

The curb is bad news for Indian carriers such as Air India Express, SpiceJet, and Akasa Air who have reportedly placed orders for hundreds of variants of the jet.

India's Directorate General of Civil Aviation (DGCA) has already inspected all Boeing 737 Max aircrafts in service in the country. "As a precautionary measure, DGCA on 6 January directed all Indian operators with Boeing 737 Max 8 aircraft to check the operation and proper closing of all over wing emergency exits by 7 January. These checks have been satisfactorily performed on the fleet of operational fleet of Boeing 737-8 Max aircraft by Air India Express (4), SpiceJet (8) and Akasa Air (20)," the regulator said in a statement.

The MAX family includes the best-selling 737 MAX 8 which is Boeing's main cash cow. It was not immediately clear how the halt to MAX production "expansion" announced by the FAA would affect the company's detailed near-term production ramp-up plans.

The MAX family includes the best-selling 737 MAX 8 which is Boeing's main cash cow.