Addressing Industry Challenges at Farnborough Airshow

Chinedu Eze

Aerospace leaders convened at the Farnborough Airshow in southern England this week for aircraft exhibition, to make firm orders and to review prevailing scarcity of aircraft, spares and workforce plaguing the industry.

The event showed significant developments and agreements that would address the industry’s current challenges.

Devdiscourse.com reported that on Tuesday, numerous plane orders were confirmed, even as jetmakers face supply chain pressures and airlines voice concerns about delivery delays. Notably, Qatar Airways ordered 20 more Boeing 777-9s, and Rolls-Royce is developing a smaller version of its Ultrafan engine demonstrator targeted at the narrow-body jet market.

Boeing’s production flow at its 737 MAX factory is showing significant improvement, according to its new commercial planes chief. Meanwhile, Airbus’s CEO mentioned exploring opportunities to scale up in defence, space, and satellite markets. In the realm of commercial plane and engine deals, Japan Airlines finalised orders for 20 Airbus A350-900s and 11 A321neos, among other significant transactions. The defence sector also saw crucial announcements, including the UK’s efforts in advancing its Global Combat Air Programme with Japan and Italy.

Airbus and Boeing have different views on when, or whether, Chinese aircraft manufacturer COMAC will become a competitive threat. Aviationweek.com reported that at last year’s Paris Airshow, then- Boeing Commercial Airplanes CEO, Stan Deal, said he did not believe COMAC would become a viable competitor for at least the next 10 years. However, Airbus Commercial CEO Christian Scherer believes COMAC is already a serious competitor. Speaking at a pre-Farnborough Airshow briefing in London on Sunday, he said the state-owned Chinese company was already making inroads into the market, albeit in a limited way. “It’s not when, or if, they’re a competitor so far; they’re very much influential in the PRC (People’s Republic of China) and perhaps in the surrounding areas and countries,” he said.

“There’s significant sustained demand not only in China … for the cake to be split up between all the contenders,” he added.

“COMAC has brought an aircraft to market: it sells. In very, very small quantities, but that’s where you start. But COMAC hasn’t really brought anything new, of differentiating substance, to the market, compared to the ‘reference product’ that I would say is the Airbus A320/321 (or) from what Airbus was 50 years ago,” he further said.

The original A320 introduced fly-by-wire and sidesticks to the commercial airliner market.

“Trying to develop a technological sovereignty here in Europe, Airbus didn’t imitate a product already in the market; it brought something new, and that accelerated our (market) penetration.”

Aviationweek.com also reported that Korean Air CEO, Walter Cho remained confident that Boeing would meet its delivery commitments after the airline placed an order for up to 50 widebody aircraft.

Korean signed a firm order on Monday for 20 777Xs and 20 787-10s, with options for a further 10 787-10s. Cho said the first delivery slots would be in 2028 and continue from there.

Asked if Boeing would honours its delivery commitments, Cho replied: “If I wasn’t assured, I wouldn’t have ordered the aircraft. I know Boeing will pull through whatever they’re going through right now. I have full confidence in Boeing. They’ll get through it.”

Korean has 20 737 MAX-8s, seven 787-9s and 16 787-10s on order with Boeing, according to CAPA Fleet Database. The airline took delivery of its first 787-10 on July 22, which it initially plans to deploy between Seoul Incheon and Tokyo Narita, before using it on long-haul routes to destinations including Vancouver.

Korean Air also placed a widebody order with Airbus in March for six A350-900s and 27 A350-1000s. However, Cho said the 777X was likely to become its flagship aircraft.

Looking backwards to the COVID-19 lockdown, air travel has rebounded since 2020, increasing airlines’ demand for new aircraft and parts for current fleets. Boeing and Airbus—and companies that supply them with parts and materials—have faced challenges increasing production to meet demand.

Gao.com indicated that the aviation manufacturers reported shortages of workforce and materials. Some said they were offering financial incentives, working with local schools to build interest in aviation careers, increasing oversight of suppliers and adding new suppliers.

To adapt to difficulty getting new aircraft and parts, airlines reported reducing the number of flights and working to safely extend the life of some parts.

THISDAY learnt that orders for new commercial aircraft have rebounded since they declined in 2020. However, the two main manufacturers of commercial aircraft—Boeing and Airbus—have faced challenges in increasing production of their most popular models—the Boeing 737 and Airbus A320—to meet demand. Steps Boeing and FAA (US Federal Aviation Administration) are taking to ensure safety after a January 2024 in-flight failure of a section of the fuselage have also affected Boeing’s production levels early in 2024. Additionally, of the 15 companies GAO reported that it interviewed that supply components to Boeing and Airbus, nine said that they have likewise had difficulty filling orders with the rebound in demand following the COVID-19 pandemic.

GAO also reported that manufacturers attributed these production challenges to workforce and material shortages and are working to mitigate them. Fifteen of the 17 manufacturers who spoke on this said they or their suppliers have had difficulty hiring enough skilled workers to enable them to satisfy the demand for their products. Six manufacturers said that difficulty hiring sufficient workers may be related to difficult or hazardous working conditions that some of these jobs entail, such as the use of toxic chemicals. Some manufacturers reported offering financial incentives and working with local schools to build interest in aviation careers to address their workforce needs. Further, fifteen manufacturers said that they or their suppliers have had difficulty procuring materials needed to complete their orders. Material shortages included a broad range of items, such as engines and semiconductors as well as raw materials like aluminum. To address these material shortages, manufacturers said they have increased monitoring of suppliers and established additional sources for some supplies.

Gao.com also reported that airlines are making changes to scheduled flights and developing ways to safely extend the life of some parts, among other actions, due to the difficulty obtaining new aircraft or the parts needed to maintain their current fleet. Some of the airlines have reported delays of new aircraft they had expected to receive in 2023, saying they have had trouble obtaining a broad range of parts needed to maintain their fleets. Parts in short supply included small hardware like nuts and bolts as well as specialized items like cockpit windows and engine components.