Caribbean Airlines Expands Fleet with E175s and Freighters Amid Growing Demand
Caribbean Airlines is poised for fleet expansion, aiming to meet rising demand by adding regional jets, Embraer E175s, as well as dedicated freighters. According to Finance Minister Colm Imbert, the Trinidad and Tobago-based carrier plans to lease five E175 regional jets, marking its first foray into the regional jet segment. Additionally, the airline is set to lease three B737-8s, four ATR turboprops, and introduce dedicated freighters, two ATRs, and two B737-800s.
Imbert outlined the carrier’s growth strategy during the 2024 budget presentation, emphasizing Caribbean Airlines’ commitment to meet the increasing demand for both leisure and corporate travel. The airline aims to bring its fleet size back to pre-pandemic levels, responding to the recovery in the Caribbean tourism sector and the growing corporate demand driven by the oil-and-gas boom in nearby Guyana.
Caribbean Airlines plans to establish bases and hubs across the region to enhance efficiency and implement cost-reducing measures. The move aligns with the carrier’s goal to tap into the recovering travel market and cater to intra-regional demand. The addition of regional jets, such as the E175s, represents a strategic step to optimize its fleet for diverse routes and travel needs.
Currently operating ten ATR72-600s and nine B737-8s, Caribbean Airlines has a significant presence in the Caribbean, with a main base at Port of Spain and a secondary base at Kingston Norman Manley. While the carrier does not have in-house freighters, it wet-leases a B767-300ER(BDSF) from Northern Air Cargo.
The fleet expansion plans also indicate Caribbean Airlines’ intention to capitalize on the market niche left by LIAT (Antigua and Barbuda), which has undergone restructuring and scaled down operations. Caribbean Airlines aims to establish itself as a key player in the regional market, emphasizing regional growth over rivals.
However, these expansion plans have prompted reactions from Antigua and Barbuda, where LIAT 2020 (Antigua) is set to restart operations as a joint venture with Nigeria’s Air Peace. The competition for market dominance in the Caribbean region is heating up, with both carriers vying for a significant share of the regional travel market.
In addition to regional competition, Caribbean Airlines faces challenges domestically, including potential pilot resignations following a lawsuit to decertify the T&T Airline Pilots Association (TTALPA) union. Pilots express concerns about low salaries and the risk of losing their right to strike if the union is decertified, presenting internal challenges for the carrier as it charts its growth trajectory.