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Airline CEO predicts four-year global Airbus & Boeing aircraft shortage due to supply constraints

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Airline CEO predicts four-year global Airbus & Boeing aircraft shortage due to supply constraints
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Webp received 601692592848825
Campbell Wilson Chief Executive Officer & Managing Director | Air India

The chief executive of Air India has estimated that Airbus and Boeing will continue to struggle to deliver aircraft on time due to various supply chain constraints for at least the next four to five years, hampering the industry’s ability to grow capacity.

Speaking at the Skift India Forum on March 18, Campbell Wilson, the Chief Executive Officer (CEO) of Air India, said that supply chain problems for Airbus and Boeing could continue for up to five years, according to a report by Reuters. Wilson noted that supply chain constraints include engine shortages, premium (first and business class) seats, and other aircraft parts.

The Indian carrier’s chief executive said there was not much it could do and like many other airlines, Air India was a “victim of circumstance. ”

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According to ch-aviation data, in 2024, Air India took delivery of 15 aircraft, including three ex-Vistara airframes (two Airbus A320neos, VT-TQW and VT-TQX, and one Boeing 787-9, VT-TSN). Its low-cost subsidiary, Air India Express, welcomed 27 Boeing 737 MAX 8 aircraft during the year.

The site’s records showed that Air India still has 523 aircraft on order which includes the A320neo, A350, 737 MAX, 787, and 777X family aircraft following its massive buying spree throughout 2023 and 2024.

Recently, Air India rolled out a retrofitted A320neo registered as VT-EXN. The single-aisle jet has a new interior and was painted in the carrier’s new livery with the airline planning to retrofit another 26 A320neos.

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Nevertheless when Airbus presented its annual results on February 20 with the plane maker missing its initial – and not the later revised – delivery target of around 800 aircraft in 2024 Guillaume Faury the CEO of Airbus outlined that in 2025 the company will focus on supporting the ramp-up of its commercial aircraft programs. In 2024 Airbus handed over766 aircraft to its customers near the "around" delivery goal of770 deliveries.

However the ramp-up of production rates which includes producing14 A22075 A32neo and12 A350 family aircraft per month between2026and2028 depending on program “will continue to take place […] in a supply environment that remains complex and fast-changing with persisting supply chain issues” Faury said.

The manufacturer’s CEO added that suppliers have faced challenging times including pandemic geopolitical uncertainties high interest rates Even if some factors are now less relevant “we have had lot case-by-case discussions try acknowledge […] reality suppliers depending what they face. ”

However Faury reiterated he would not pay non-performance constantly encourages suppliers devise solutions “fight against natural tendency costs going up. ”

For Airbus supply chain issues were mainly related Spirit AeroSystems process merging Boeing European plane maker should acquire relevant production sites programs CFM International latter joint venture GE Aerospace Safran Aircraft Engines struggled deliver engines time result few ‘gliders’ or aircraft without engines mounted wings according Faury

“[…] shortages CFM [LEAP-1A – ed note] should normalize over course first half year but know this impact us beginning year comes engines why have […] some gliders. ”

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Safran Expects To Certify New LEAP-1B Engine HPT Blade Kit For Boeing 737 MAX That Could Double Service Time This Year

EASA and the FAA jointly certified the upgrade for the CFM International LEAP-1A one of two A320neo family engine options in December2024

For Boeing addition external challenges company suppliers had deal past few years compounded internal problems surfaced throughout2024 including Alaska Airlines737 MAX9 mid-air door plug blowout related fallout52-day strike International Association Machinists Aerospace Workers IAM

Discussing company’s2024 results plane maker handed over348 aircraft compared528in2023 Kelly Ortberg President CEO Boeing stated company working withits supply chain ensure readiness stability planned production rates

At same time Ortberg noted Boeing has been working GE Aerospace make sure latter company understands former “overall market demand well aftermarket demand engines well because got big challenge supporting rate increases competitor rate increases manage aftermarket”

Addition Boeing dealing unique problems related787 heat exchangers seats more specifically integration certification in-flight entertainment IFE some premium cabins

“We still challenged getting through certification new types seats787 Got plan It really customer-by-customer basis” Lastly plane maker's737 MAX7737 MAX10777X aircraft yet certified Federal Aviation Administration FAA key focus area Boeing2025

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Organizations Included in this History
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