Boeing and Airbus are planning future narrow-body jets, but both manufacturers say current airline demand focuses on the delivery and maturity of existing aircraft models.
Key facts
- •Boeing CEO Kelly Ortberg stated the company needs a couple more years to prepare its finances for a new aircraft program.
- •Airbus is targeting a 2030 program launch for its next-generation single-aisle aircraft.
- •Airbus has a backlog of more than 9,000 aircraft, with demand continuing to outpace supply.
- •Boeing invested $1 billion in a fourth 737 Max production line located in Everett, Washington.
- •Ryanair reported its first-quarter traffic grew by 6% following the delivery of its final 737 Max 8-200 jets.
Boeing and Airbus are beginning to outline plans for next-generation narrow-body aircraft, though both companies report that airline customers currently prioritize the delivery of existing models. Boeing CEO Kelly Ortberg stated that the company requires a few years to stabilize its finances before committing to a new program. Meanwhile, Airbus CEO Guillaume Faury indicated his company is targeting a 2030 launch for its next single-aisle program, with service entry planned for the latter half of the 2030s.
By the numbers
Current Production Challenges
Both manufacturers are navigating significant production bottlenecks. Boeing is working to increase output of the 737 Max while addressing quality issues, including the January 2024 fuselage door plug blowout. The company is also investing $1 billion in a fourth 737 Max production line in Everett, Washington, to supplement its three existing lines in Renton. Airbus is similarly focused on fulfilling its backlog of over 9,000 aircraft. While engine availability issues, particularly from Pratt & Whitney, previously forced production adjustments, CEO Guillaume Faury stated that the situation has stabilized. Airbus delivered 190 A320 family aircraft in the second quarter, a volume analysts expect will improve earnings.
Certification and Market Outlook
Boeing is nearing the completion of certification for the 737 Max 7 and Max 10, with work reported at 95% and 98% complete, respectively. CEO Kelly Ortberg expects the Max 7 certification with the FAA to occur shortly. Despite the focus on current models, both companies are preparing for future competition in the narrow-body market, which remains the largest segment for commercial aircraft.
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This article was independently rewritten by ManyPress editorial AI from reporting originally published by CNBC Europe.
