IATA urges action to boost the aviation supply chain to cut the aircraft order backlog
The global representative body for the airline industry, the International Air Transport Association (IATA), has highlighted the delays in deliveries of new airliners. These delays are having real cost consequences for airlines, the association pointed out at its recent AGM.
“The aircraft order backlog is over 18 000. And the average fleet age has reached a record 15.2 years,” highlighted IATA director-general Willie Walsh, in his 'Report on the Air Transport Industry'. “Moreover, being short over 5 000 more fuel-efficient replacement aircraft that airlines had counted on means missed efficiency gains, not to mention higher lease rates and increased maintenance costs. In total, supply chain failures cost airlines at least $11-billion in 2025. Today’s higher fuel prices will only make that worse.”
From IATA’s point of view, overcoming these ongoing delays in the supply of new aircraft requires implementing four priorities. These are to enhance the visibility of the supply chain; open up the aftermarket; exploit data, digitalisation and AI; and build human capacity.
“Alongside aircraft delivery delays, engine durability issues, shortages of materials and spare parts, and constrained maintenance capacity are disrupting airline operations,” pointed out IATA flight and technical operations director Stuart Fox. “Addressing these challenges will require practical action and cooperation across the aviation value chain.”
With regard to increased visibility of the supply chain, IATA urges manufacturers to supply reliable information earlier regarding delays in deliveries, repair turnaround times, availability of spare parts, and known bottlenecks. This will allow airlines to better plan their global network operations.
As for the aftermarket, IATA urges other manufacturers to adopt the main principles of the IATA-CFM Agreement. Under this, engine-maker CFM supports increased competition in the market for the maintenance, repair and overhaul (MRO) of its engines. This will result in airlines having greater access to safe and certified third-party MRO services, approved repairs and alternative parts, thereby increasing competition in the market and cutting costs.
Regarding data, digitalisation and AI, IATA advocates for greater integration of airline maintenance systems with external market intelligence, to achieve better inventory management, ascertain the availability (and scarcity) of material, inform decisions of whether to repair or replace components, and reinforce warranty claims. These processes can be further underpinned by using AI to predict demand, reduce manual work, and identify shortages. In this sphere, IATA is cooperating with the International Airlines Technical Pool, to enable airlines to have a clearer view of, and access to, aircraft parts. Further, IATA is making its MRO SmartHub available to airlines, through a data participation programme, at no cost.
When it comes to building human capacity, the recruitment, training and licensing of aviation technicians should be reviewed, asserts IATA. The aim will be to reduce timelines, improve job stability and expand reach. The need for maintenance technicians is going to grow, and IATA cites a Boeing report that 710 000 new technicians will be required over the next 20 years.
“The supply chain is under real pressure, but this is not a reason for pessimism,” affirmed Fox. “These four priorities alone are not complete solutions. But they would be an important step for [original-equipment manufacturers], suppliers, MROs, lessors, regulators, and airlines working together to achieve the resilient aerospace supply chains that global connectivity needs.”
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation

















