Cebu Pacific Nears Decision on Major Aircraft Order: Airbus or Boeing for 100+ Jets

Philippine low-cost carrier Cebu Pacific is on the verge of choosing between Airbus and Boeing for a monumental order of over 100 narrowbody jets, a decision expected in the second quarter, according to CEO Michael Szucs. This announcement came during an interview at the Singapore Airshow, highlighting the airline’s deliberation between Airbus’ A320neo and A321neo models and Boeing’s 737-8-200 and 737-10 models for deliveries starting in 2027.

The airline’s strategy involves acquiring a diversified fleet to navigate the Philippines’ diverse runway requirements. Currently operating an all-Airbus narrowbody lineup, including A320neos and A321neos, a shift to Boeing would signify a significant victory for the American aircraft manufacturer. Szucs emphasized Boeing’s proactive engagement and confidence in addressing the challenges that have previously arisen.

In October, Cebu Pacific revealed its ambition for the Philippines’ largest aircraft acquisition, aiming to purchase 100 to 150 narrowbody planes valued at up to $12 billion. This move aligns with the carrier’s goal to significantly expand its fleet by 2035, capitalizing on the anticipated travel surge in Southeast Asia post-pandemic. Szucs noted that the final order would likely comprise 100 firm aircraft with additional options, considering engine preferences.

The airline is navigating challenges with Pratt & Whitney’s GTF engines, used in some A320neo aircraft, which are currently undergoing inspections for potential issues. This has led to the temporary grounding of ten Cebu Pacific jets. Despite these setbacks, Szucs expressed confidence in Pratt & Whitney’s resolution of these issues by 2027, coinciding with the expected delivery of new jets. Additionally, Cebu Pacific has opted for Pratt & Whitney engines for 15 A320neo family aircraft already on order, while CFM International remains a competitor with its engines for the A320neo family and as the exclusive provider for the 737 MAX.

Sources: AirGuide Business airguide.info, bing.com, reuters.com