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Airlines Forced to Get Creative With Parts Due to Supply Chain Crisis

Some newer aircraft are being torn down for parts.

Delta TechOps in Atlanta [AirlineGeeks/William Derrickson]
Gemini Sparkle

Key Takeaways:

  • The commercial aviation industry is experiencing a severe supply chain crisis, stemming from persistent engine reliability issues (e.g., P&W PW1500G), dramatic aircraft production backlogs, and critical material shortages like titanium.
  • Airlines and lessors are forced to adopt innovative strategies, including extending the useful life of existing aircraft and, unusually, dismantling modern planes like the Airbus A220 for spare parts to maintain operations.
  • The crisis significantly impacts the Maintenance, Repair, and Overhaul (MRO) sector, which faces heightened demand due to aging fleets but struggles with severe skilled labor shortages and overwhelmed capacities, prolonging maintenance downtimes.
  • Despite the challenges, industry observers note potential opportunities where supply deficits could reshape market dynamics, potentially boosting airline profitability through optimized fleet utilization, though broader economic and geopolitical uncertainties remain.
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The commercial aviation industry is navigating a serious supply chain crisis, leading airlines and aircraft lessors to adopt innovative strategies to maintain operational readiness.

Recently, aircraft lessor Azorra partnered with Delta Material Services (DMS) to dismantle an Airbus A220-300 for spare parts, marking the first such occurrence for this relatively new aircraft model. Although dismantling modern aircraft is uncommon, this situation underscores the severity of the ongoing component shortage.

Keller Laseter

Bringing over 10 years of aviation experience and multiple years in finance, Keller Laseter combines both of those skills to be FLYING Finance’s CCO. His leading knowledge in all categories and classes of fixed wing aircraft helps guide you through the finance process with ease and will leave you knowing you’re in great hands. Keller holds type ratings in the Beechjet 400A/XP/NXT, Embraer E-175 and has many hours in King Airs, along with other high-performance aircraft. Throughout his career, he’s had the opportunity to enjoy the world of aviation and many different operations. As an ATP, CFI, and CFII, aviation is in his blood.

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