Spirit Airlines considers postponing or canceling Airbus orders due to trade war

An A320neo has a baseline cost of $110 million; even at a 10% tariff rate, this would add at least $1 billion in costs. Spirit acknowledges in its filing that "the future impact of tariffs is very much subject to change," with uncertainties about the duration and rate of duties imposed by the US government.

"The imposition of tariffs will increase the cost of imported new Airbus aircraft and parts," states Spirit's filing. "We may seek to postpone or cancel delivery of aircraft currently scheduled for delivery."

Spirit Airlines' current fleet consists entirely of A320-family aircraft with an average age of just under six years—the youngest among US airlines. However, due to financial pressures during bankruptcy proceedings in 2024, Spirit revised its projected fleet size down from 219 to 196 by year-end 2025.

Despite emerging from bankruptcy with reduced debt and fresh funding, Spirit continues facing challenges such as selling off part of its existing fleet and deferring direct deliveries from Airbus originally planned for this decade's latter half. Consequently, it offers fewer flights this summer compared to last year.

After reporting significant losses in recent periods—including a $1.2 billion loss in 2024—Spirit remains burdened with $3.3 billion in debt amid an unpredictable travel market affecting even profitable US airlines.