Flydubai Faces Aircraft Shortage Amid Surging Passenger Demand in the Gulf
Flydubai, a prominent airline based in the Gulf, is grappling with a unique challenge: a steep increase in passenger levels necessitating fleet expansion. However, acquiring new aircraft has become a significant hurdle in the post-pandemic era, with supply chain issues affecting the pace of production for aircraft manufacturers.
Ghaith Al Ghaith, the CEO of Flydubai, is intimately familiar with this predicament. The airline, which currently operates a fleet comprising 46 Boeing 737-8s, three 737-9s, and 30 older 737-800s, has placed substantial orders for more Boeing MAX aircraft in 2014 and 2017. Yet, the delivery of these new planes has been frustratingly slow, deviating from the expected influx to a mere trickle.
“Our order book is nearly at 100,” Al Ghaith remarked earlier in September, highlighting the delivery challenges. “This year, we anticipated nine new aircraft, but realistically, we might receive just four or five.”
The prospects for timely deliveries remain bleak, with Al Ghaith foreseeing continued delays into the next year and beyond. This delay has also impacted the airline’s plans for additional orders, initially expected to be announced at the Dubai Air Show. The slow progress in discussions with major manufacturers has dampened hopes for a significant airshow announcement.
Despite Boeing being the incumbent aircraft provider for Flydubai, Airbus’s A321LR and XLR models present an intriguing option for the airline, potentially expanding its operational reach, which currently spans from China in the East to Prague in the West. While Al Ghaith does not view the long-range Airbus models as game-changers, he acknowledges their potential in opening up new destinations.
Flydubai has evolved from a low-cost carrier to a ‘hybrid’ model, introducing a business class cabin and updating its business-class seats earlier this year. “Operating in Dubai, a regional hub for business and commerce, made introducing a business class an obvious choice,” Al Ghaith explained. The strategic partnership with Emirates Airline further enhances the importance of the business class segment for Flydubai.
The airline’s growth plans are not just confined to fleet expansion. With tourism being a pivotal part of the UAE’s economy, and the anticipated surge in tourist numbers in the region, particularly with the opening of new resorts along Saudi Arabia’s Red Sea coast, Flydubai stands to benefit significantly. Al Ghaith notes the relaxation of Saudi Arabia’s visa regulations as a crucial factor boosting regional travel, with electronic visas now facilitating quicker and more accessible travel for a broader range of passengers.
Flydubai’s ongoing challenge of fleet expansion amidst robust passenger growth reflects the dynamic nature of the aviation industry in the Gulf region, underscored by evolving travel patterns and the airline’s strategic adaptation to these changes.