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Airlines Face $11 Billion Hit in 2025 Due to Aerospace Supply Chain Woes
The International Air Transport Association and Oliver Wyman warn that supply chain disruptions in the aerospace industry could lead to over $11 billion in losses for airlines in 2025.
- The report by the International Air Transport Association and Oliver Wyman highlights that production delays in the aerospace supply chain will force airlines to extend the use of older aircraft.
- Airlines are facing a historic global backlog of commercial aircraft, which is driving the estimated $11 billion financial impact in 2025 due to ongoing supply chain issues.
- Aerospace manufacturers are struggling with delays that affect the delivery of new aircraft and parts, causing airlines to reevaluate their fleet strategies in response.
Why It Matters
This situation underscores the fragility of the aerospace supply chain, which can significantly impact airlines operational strategies and financial health, ultimately affecting air travel costs and availability for consumers.