DUBAI/FARNBOROUGH, England (Reuters) – Budget airline Flydubai’s fleet expansion plans have been hit by delays in Boeing’s (NYSE:) delivery schedule, the Dubai airline said on Monday.
Flydubai, the sister low-cost carrier of flagship Emirates, said it is “evaluating its route development plans and possible frequency review across the network due to a lack of new aircraft deliveries in the coming months”.
Demand for air travel has recovered since the pandemic, but aircraft makers have struggled to ramp up production levels due to disrupted supply chains and a safety crisis at Boeing.
Flydubai said Boeing’s delivery delays in recent years have put significant pressure on the airline and its ability to plan its expected growth in the wake of strong post-pandemic travel demand.
The airline said that due to revisions to its 2024 delivery schedule, Boeing was not expected to hand over the 14 737 MAX aircraft originally planned for the year.
Flydubai, which has more than 125 737 MAX jets on order over the next decade, urged the US manufacturer to “deliver and renew its commitment” to meet its delivery commitments.
It also said it was exploring options to reduce the impact of the delays, adding that it had entered into aircraft, crew, maintenance and insurance (ACMI) deals, without elaborating.
Asked about flydubai’s comments, Boeing vice president of commercial marketing Darren Hulst acknowledged that many airlines had been waiting for planes, but said it was important to take the time to ensure the company consistently builds quality planes.
“There is no doubt that we have disappointed our customers, and in many cases we have disappointed them over and over again,” Hulst said. “We need to create that stability so that we can not only deliver a quality aircraft, but a quality aircraft when we tell our customers it’s going to be delivered.”
The airline also indicated that it had incurred additional costs because it had to renew the lease on a number of aircraft that it planned to return under sale-and-leaseback agreements.
Flydubai says it is the largest operator of Boeing 737 MAX aircraft in the Middle East and Gulf Cooperation Council (GCC) region.
