Despite survival warnings, Airbus to stabilize production output

Despite multiple Guillaume Faury’s warnings about deteriorating situation at the company, Airbus has reviewed its internal targets. The manufacturer plans to cut a third of its best-selling Airbus A320neo airliner production output.

The manufacturer reduced the production of the A320neo earlier in April 2020. After reducing the output of its bestselling narrow-bodies from 60 before the COVID-19 hit to the current 40, it seems that now Airbus is determined to maintain the stability of production rate.

The company’s sources told Reuters that the production rate of A320neos does not show any signs of slowing. However, the manufacturer currently has 170 aircraft that are ready to be delivered for struggling air carriers.

Cirium data showed that nearly 30 of the aircraft are owned by leasing companies and none of the carriers have shown intentions to add them to the fleet. Another part of a new cut already has its owners, but it remains unclear whether airlines will remain viable after the winter season.

Despite Airbus allegedly expressed confidence in its goal to hold the line on A320neos output, speaking to the French radio station RTL earlier in September 2020, Guillaume Faury, the CEO of Airbus, said that the business was “potentially at risk“.


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