All indications are that the airline industry is set to soar in 2026, but experts have cautioned that key risks remain, making stronger industry support all the more crucial.
Issues such as supply chain bottlenecks are among the most significant headwinds, according to the International Air Transport Association (IATA), while thin margins particularly for Asian and African airlines will put pressure on profits.
For Malaysian carriers, this reality is already hitting home. “(Our airlines) are not insulated from the global risks that are threatening the industry,” transport consultant Wan Agyl Wan Hassan told Free Malaysia Today.
One of the major problems airlines around the world face today is their inability to expand or renew their fleet.
According to Stuart Fox, IATA director of flight and technical operations, deliveries for a total of new 5,340 aircraft have already been delayed globally.
The shortfall in deliveries has forced airlines to hold on to their older aircraft, according to Fox.
At the current rate, an airline will have to wait an average of 6.8 years for its new aircraft to be delivered if an order is placed today, Fox said.
Supply chain constraints have been haunting airlines for the past few years, thanks to post-pandemic disruptions. This has led to a significant increase in travel costs for consumers.
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