Farnborough: The Aviation leaders will meet for a summit outside London as the industry struggles with supply chain disruptions, aircraft delays, and faltering plans to reduce carbon emissions.
Farnborough Airshow running from July 22-26 is a key event for top executives from airlines, aircraft manufacturers, and weapons makers. This year’s show is not expected to produce more orders as Airbus is struggling to meet production targets, and Boeing is maintaining a low profile following a safety incident in January involving a 737 MAX jet.
Despite the unfavourable atmosphere, some deals are anticipated. Virgin Atlantic is close to placing an order for Airbus A330neos, and Flynas, a Saudi low-cost carrier, is expected to order up to 30 aircrafts, according to industry sources. Japan Airlines is likely to finalise recent tentative orders, and Boeing is seeing leasing interest for its 737 MAX. Turkish Airlines is also negotiating to purchase Boeing jets.
Amid limited dealmaking, attention is shifting to resolving supply chain bottlenecks and accelerating aircraft deliveries to airlines. The aviation industry, heavily impacted by the pandemic, is now facing labour and spare parts shortages as it recovers. The situation has been worsened by Boeing’s ongoing crisis, which has slowed production of the 737 MAX following the flying panel incident.
Boeing’s head of commercial aircraft, Stephanie Pope, stated that 737 MAX production is improving and highlighted the company’s ‘transformational change’ in safety and corporate culture. Airbus CEO Guillaume Faury also reported progress in ramping up production of its leading passenger jets.
The industry leaders are closely monitoring air passenger demand amid recent profit warnings from airlines. British Prime Minister Kier Starmer is expected to attend the airshow.
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