Boeing will lower 747-8 production from two aircraft per month to 1.75 per month.

In a Friday statement, the manufacturer said the decision to reduce the production rate was driven by “lower market demand for large passenger and freighter airplanes.” Boeing produces both a freighter and passenger version, the 747-8 Intercontinental.

It stated, “Boeing will continue to monitor market conditions and their effect on production rates moving forward. The company expects long-term average growth in the air cargo market to resume in 2014, and forecasts a demand for 790 large airplanes (such as the 747-8 Intercontinental) to be delivered worldwide over the next 20 years.”

The first delivery at the new production rate is expected early next year, Boeing said, adding “The production rate change is not expected to have a significant financial impact.”