Airbus deliveries rise 2% in first half despite supply chain concerns

Airbus Forecast: Airbus, the world's largest commercial aircraft manufacturer, reported a modest increase in deliveries during the first half of the year, according to industry sources. The European aerospace giant delivered approximately 67 aeroplanes in June, bringing the total number of aircraft delivered in the first six months of 2024 to around 323. This marks a 2 per cent increase compared to the same period last year.

Despite the positive growth in deliveries, Airbus recently adjusted its full-year delivery forecast downward, citing persistent supply chain challenges. The company now expects to deliver 770 planes in 2024, down from its previous target of 800. This revision underscores the complexities faced by the aviation industry as it contends with post-pandemic recovery, global supply chain disruptions, and geopolitical tensions.

Airbus's decision to lower its delivery forecast comes amid a broader context of industry-wide struggles. Supply chain issues, including shortages of key components and materials, logistical bottlenecks, and labour constraints, have impacted production schedules and delivery timelines. These challenges have forced many aerospace manufacturers, including Airbus, to recalibrate their expectations and operational strategies.
The June delivery figures, while indicative of Airbus's resilience, also highlight the ongoing efforts to navigate these supply chain hurdles. The company's ability to slightly increase its deliveries year-over-year demonstrates its commitment to meeting customer demands and maintaining its market leadership, despite the headwinds.

Airbus has declined to comment on the preliminary delivery figures ahead of the official release of its monthly and half-yearly data, which is expected on July 8. The official data will provide a comprehensive overview of the company's performance, offering insights into its production capabilities, market demand, and the effectiveness of its mitigation strategies against supply chain disruptions.

The first half of 2024 has been a period of cautious optimism for the aviation industry. With global air travel gradually recovering, airlines have resumed fleet expansions and upgrades, driving demand for new aircraft. Airbus, with its diverse portfolio of single-aisle and wide-body jets, has been a primary beneficiary of this resurgence in demand. However, the supply chain issues have tempered the pace of recovery, necessitating adjustments to production and delivery schedules.

With Reuters Inputs