China’s lockdowns exacerbate supply chain issues, says Airbus boss
China’s recent lockdowns have exacerbated ongoing supply chain issues, according to Airbus’s chief executive Guillaume Faury.
“The whole worldwide supply chain is complicated at the moment,” he told journalists today.
Faury said that, even though lockdown-induced problems with raw materials continue to increase market pressures, the company will remain committed to raise production of A320 aircraft from 45 to 65 per month by 2023.
The comments come a day after rival Boeing was forced to halt production of its 777X jets after posting steeper losses than initially anticipated.
In the first three months of 2022, the US manufacturer posted a net loss of $1.24bn, while its 77X jets will lead to a $1.5bn slump in the next quarter due to certification issues and weak demand.
“While the first quarter of 2022 brought new challenges for our world, industry and business, I am proud of our team and the steady progress we’re making toward our key commitments,” chief executive Dave Calhoun said.
The plane maker is also expected to lose $1.1bn from an Air Force One deal made in 2018 with former US President Donald Trump.
“We took some risks not knowing that Covid would arrive and not knowing that inflation would take hold like it has – and both of those have impacted us fairly severely,” Calhoun told investors.
Boeing was recently dealt a hard blow when Air Canada snubbed it in favour of Airbus. The airline announced on 22 March 26 extra-long range versions of Airbus A321neo, which will be used on North American as well as several transatlantic routes, City PM reported.