Boeing and Airbus are at a pivotal moment as they begin to outline their next-generation narrow-body aircraft, yet both CEOs indicate that their airline customers are more concerned with the timely delivery of existing jets. Boeing's CEO, Kelly Ortberg, stated that the company requires 'a couple more years' to stabilize its finances before launching a new commercial aircraft program.
Meanwhile, Airbus's CEO, Guillaume Faury, has set a target for launching a new single-aisle program around 2030, with service entry expected in the latter half of the 2030s. Both manufacturers face ongoing production challenges, with Boeing still recovering from past quality issues and Airbus adjusting its production plans due to engine availability constraints.
Analysts from RBC Capital Markets highlight that investors are primarily focused on Boeing's ability to ramp up production of the 737 Max and 787 models, as well as the certification of the Max 7 and Max 10 variants. Airbus, with a backlog exceeding 9,000 aircraft, is also under scrutiny to meet its production goals, particularly for the A320 family, which has shown strong demand.
As both companies work through significant order backlogs, airlines like Ryanair continue to expand their fleets using existing models, indicating a shared interest among manufacturers and customers in fulfilling current orders before shifting focus to future aircraft.
The eventual competition between the successors to the 737 Max and A320neo will be significant, but for now, the emphasis remains on delivering today's aircraft