Boeing (BA.US) “turned over” and Airbus “fell out of favor”? International Air Transport Association: Boeing's delivery performance has improved significantly

Zhitong Finance App learned that in an interview with the media on Tuesday, the head of the global aviation industry organization, the International Air Transport Association (IATA), said that due to ongoing aerospace supply chain issues, the industry's confidence in whether Airbus (Airbus) can meet its aircraft delivery goals has declined, while the actual delivery performance of Boeing (BA.US) has improved significantly from the sluggish performance of previous years.

“I think we're seeing a shift where the market generally acknowledges that Boeing's delivery performance has improved significantly. There is greater confidence that Boeing will deliver on its delivery promises, and we are also seeing that confidence in Airbus is waning.” Willie Walsh (Willie Walsh), director general of the industry organization, told reporters.

“However, this is disappointing for the industry as a whole, as the number of new aircraft delivered worldwide will fall short of previous market expectations.” He added during the interview.

Recently, Airbus experienced quality problems with the A320 fuselage metal skin quality, software repairs, and the engine and cabin supply chain. At the end of the year, they had to lower the already questioned 2025 delivery target from 820 to 790; compounding the many previous downgrades and the “relative restoration” of Boeing's delivery performance, the market felt that Airbus's delivery promise was “like a child's play”. This is the root cause of the sharp decline in confidence in Airbus.

IATA Director General Walsh's latest statement is a concentrated reflection of this sentiment: he believes that Boeing's compliance has improved markedly, while “confidence” about whether Airbus can fulfill its promises has declined. At the time, in September, the Airbus CEO publicly insisted that “we are still aiming to deliver 820 aircraft by 2025,” but was forced to downgrade to 790 aircraft in December. This repeatedly directly undermined the market's trust in its ability to manage the pace of delivery.

After experiencing the 737 MAX safety accident and the 2024 MAX 9 door plug incident, Boeing went through a series of “self-adjustments” such as supervised production restrictions and the acquisition of Spirit AeroSystems. Recently, delivery performance has stabilized, and was publicly evaluated by IATA as “a significant improvement in actual delivery performance.” In contrast, Airbus was previously viewed as the “more stable one,” but now it continues to lower delivery targets and increase on-site inspections due to supply chain and quality issues, which naturally creates a strong contrast.