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Early scrapping of Airbus A320neo jets driven by engine shortages and supply issues

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Early scrapping of Airbus A320neo jets driven by engine shortages and supply issues
Policy
Webp oi
Guillaume Faury, CEO | Airbus

Several Airbus A320neo-family aircraft, which are relatively new to the market, are being dismantled for parts much earlier than expected. The A320neo entered service less than ten years ago and has quickly become a major success for Airbus, with over 11,000 orders placed globally. However, ongoing supply chain issues—especially involving engines—have led operators to strip some of these jets rather than keep them flying.

Recently, two Airbus A321neos that were only six years old were scrapped and stripped for usable components. Earlier this year, Unical Aviation in the United States purchased a "double-digit" number of A320neos specifically to break them up for parts. AerFin, a UK-based company, also acquired four A320neos to be dismantled. Airlines have faced long waits for spare parts deliveries; using components from scrapped aircraft helps reduce maintenance delays and gets grounded planes back in service faster.

Despite high demand for the A320neo family—airlines often wait years after placing an order before receiving their aircraft—the value of salvaged parts has increased significantly. Dismantling one jet can help several others return to operation.

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A key factor behind these early retirements is a manufacturing defect affecting Pratt & Whitney’s PW1100G engines. The company ordered inspections and potential maintenance on up to 3,000 engines due to contaminated powdered metal used in production. This has left hundreds of A320neos and some A220s grounded for months at a time as they await repairs or replacement parts. Turnaround times are estimated at 250–300 days or more when supplies are limited.

According to Rob Morris, Global Head of Consultancy at Cirium Ascend Consultancy, all eleven A320neo aircraft listed by Cirium as scrapped had PW1100G engines installed.

Other models such as the Airbus A220 have faced similar challenges; recently, a five-year-old former EgyptAir airframe was parted out so its engines could be leased elsewhere.

Currently, about sixty completed but undelivered A320neo-family aircraft remain stored by Airbus because engine shortages prevent delivery to customers. These supply chain problems have been worsened by the economic fallout from the COVID-19 pandemic. In 2023, Irish lessor ACG accused Indian airline Go First—now defunct—of returning leased A320neos missing critical components after cannibalizing them for spares amid engine-related groundings that left half its fleet idle.

"Lufthansa" was the launch customer for the Airbus A320neo when it made its first delivery on January 20, 2016.

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