Commercial Aviation
Airbus Strengthens Supply Chain with Spirit AeroSystems Acquisition
Airbus improves supply chain stability and plans to acquire Spirit AeroSystems assets to boost aircraft production by 2025.
The global aerospace sector has undergone significant disruption over recent years, with supply chain bottlenecks and production delays impacting even the largest manufacturers. Airbus, a leader in commercial aviation, has faced these challenges head-on, particularly as it seeks to ramp up output in response to renewed demand for aircraft. The company’s ongoing efforts to stabilize its supply chain, alongside a major acquisition of assets from Spirit AeroSystems, signal a pivotal moment for both Airbus and the wider aerospace industry.
At the heart of these developments is Airbus’s ambition to not only meet but exceed its production targets, while ensuring long-term stability and resilience across its supplier network. The pending acquisition of several Spirit AeroSystems facilities, closely linked to Boeing’s own strategic realignment, underscores the complexity and interdependence of the aerospace supply chain. This article examines the current state of Airbus’s supply chain, the details and implications of the Spirit AeroSystems acquisition, and what these moves mean for the future of commercial aviation.
By analyzing recent statements from Airbus executives, financial disclosures, and industry reports, we aim to provide a fact-based, nuanced overview of the situation, balancing optimism about progress with a clear-eyed view of the remaining challenges and strategic considerations.
In recent months, Airbus has reported a “marked improvement” in both the confidence and performance of its suppliers. This shift is significant, given the persistent supply chain disruptions that have characterized the aerospace sector since the pandemic, leading to widespread delays and production setbacks. According to Florent Massou dit Labaquère, Airbus’s Executive Vice President of Operations, suppliers are now better aligned with the company’s planning, creating a more predictable environment for ramping up deliveries.
This renewed alignment comes as Airbus targets a 7% increase in aircraft deliveries for 2025, aiming to reach approximately 820 jets. The company has also articulated a long-term goal of producing 75 narrow-body aircraft per month by 2027, a target that was previously delayed due to supply chain constraints. To support these ambitions, Airbus is expanding its production footprint, including new assembly lines in Mobile, Alabama, and China, which are expected to enhance capacity and flexibility.
Despite these positive developments, the company continues to monitor its supplier network closely. The stability of critical programs such as the A220 and A350 remains a top priority, particularly as these models are central to Airbus’s growth strategy. Financially, Airbus’s first-half results for 2025 reflect ongoing stabilization costs, with €57 million specifically attributed to efforts related to Spirit AeroSystems work packages.
“I’ve seen a completely different picture, with many suppliers understanding where we are and recognizing the stability we’ve had in terms of planning over the past few months.” — Florent Massou dit Labaquère, Airbus Executive Vice President of Operations
Airbus’s production targets are ambitious, reflecting both pent-up demand for new aircraft and the company’s confidence in its supply chain improvements. The delivery of approximately 820 jets in 2025 marks a significant step up from previous years, positioning Airbus to maintain its competitive edge in the global market. Achieving a production rate of 75 narrow-body jets per month by 2027 would represent a major milestone, enabling the company to respond more effectively to airline needs worldwide.
To realize these goals, Airbus is investing in new production facilities and assembly lines. The addition of a second U.S. assembly line in Mobile, Alabama, and a similar expansion in China are designed to increase output capacity while providing redundancy and flexibility. These moves also help Airbus mitigate risks associated with geopolitical uncertainties and supply chain disruptions in specific regions. Financially, Airbus’s full-year guidance for 2025 anticipates adjusted earnings of approximately €7 billion and free cash flow of €4.5 billion. These projections account for the integration of Spirit AeroSystems work packages, underscoring the financial significance of the acquisition and supplier stabilization efforts.
Strengthening supplier relationships has been a central focus for Airbus, particularly in light of the vulnerabilities exposed by recent global events. By fostering closer collaboration and providing financial support where necessary, Airbus aims to ensure that key suppliers can meet quality and delivery expectations. The company’s approach includes non-interest-bearing lines of credit and direct financial assistance to suppliers facing operational or financial challenges.
One notable example is the support package extended to Spirit AeroSystems, totaling over $350 million, including $200 million in credit lines and $152 million in direct assistance. This financial backing is intended to stabilize production on Airbus-related programs, particularly for the A350 wing and fuselage and A220 components. Such measures reflect a pragmatic approach to risk management, recognizing that supplier stability is integral to Airbus’s own success.
While progress has been made, challenges remain. Inflationary pressures, workforce shortages, and regulatory hurdles continue to affect certain suppliers. For instance, the Spirit subsidiary in Belfast, Shorts Brothers, reported a loss of $504 million in 2024, highlighting ongoing financial instability in parts of the supply chain.
The planned acquisition of Spirit AeroSystems assets by Airbus represents a strategic response to both immediate supply chain challenges and longer-term industry trends. Spirit, originally spun off from Boeing in 2005, has become a key supplier for both Boeing and Airbus, manufacturing critical aerostructures such as fuselages and wings. However, the company has faced operational and financial difficulties, prompting Boeing to announce its intention to re-acquire Spirit’s core operations.
Given Spirit’s importance to Airbus, particularly for the A220 and A350 programs, a separate agreement was necessary to ensure continuity and stability. Under the terms of the deal, Airbus will acquire Spirit facilities and work packages dedicated to its aircraft. These include sites in Kinston, North Carolina (A350 fuselage sections), St. Nazaire, France (A350 fuselage sections), Casablanca, Morocco (A321 and A220 components), Belfast, Northern Ireland (A220 wings and mid-fuselage), Prestwick, Scotland (wing components for A320 and A350), and Wichita, Kansas (A220 pylons).
The transaction, initially expected to close in the third quarter of 2025, has been delayed to the fourth quarter due to regulatory approvals related to Boeing’s broader re-acquisition of Spirit. Airbus will receive a payment of $439 million from Spirit AeroSystems, reflecting a revised transaction scope. The deal is widely viewed as a strategic move to secure Airbus’s supply chain and reduce dependency on external suppliers for critical components.
“The process is progressing; we expect to conclude it in the fourth quarter.” — Florent Massou dit Labaquère, Airbus Executive Vice President of Operations
The closing of the Airbus-Spirit acquisition is contingent on regulatory approvals, primarily linked to Boeing’s simultaneous re-acquisition of Spirit’s core operations. According to Airbus Chief Financial Officer Thomas Toepfer, the delays are “not so much on our side,” emphasizing that Airbus’s portion of the deal is largely dependent on the broader regulatory environment. Financially, the acquisition involves a payment of $439 million from Spirit AeroSystems to Airbus, adjusted from previous figures to reflect changes in the transaction’s scope. In addition, Airbus’s support for Spirit AeroSystems has included non-interest-bearing credit lines and a direct support package, aimed at stabilizing production on Airbus programs ahead of the deal’s completion.
These financial arrangements are designed to minimize disruption and ensure a smooth transition of operations. They also reflect Airbus’s commitment to maintaining stability in its supply chain, even as it navigates complex regulatory and operational challenges.
The acquisition of Spirit AeroSystems assets is expected to strengthen Airbus’s control over its supply chain, particularly for high-value, technologically complex components. By bringing these operations in-house, Airbus can better manage quality, delivery schedules, and cost structures, factors that are increasingly critical in a competitive global market.
Industry analysts view the deal as a strategic response to the vulnerabilities exposed by recent supply chain disruptions. It also positions Airbus to respond more effectively to future market shifts, whether driven by changes in demand, technological innovation, or geopolitical developments.
For Spirit AeroSystems, the transaction provides much-needed financial stability and clarity of focus, allowing the company to realign its operations with the needs of its major customers. For the broader aerospace industry, the deal highlights the importance of supply chain resilience and the growing trend toward vertical integration among leading manufacturers.
Airbus’s recent progress in stabilizing its supply chain and the pending acquisition of Spirit AeroSystems assets mark a significant turning point for the company and the wider aerospace sector. By taking decisive action to address supplier challenges and secure critical production capabilities, Airbus is positioning itself for sustained growth and competitiveness in the years ahead.
As the aerospace industry continues to evolve, the lessons learned from recent disruptions are likely to shape future strategies. The emphasis on supply chain resilience, strategic acquisitions, and close collaboration with key partners will remain central to success. For Airbus, the integration of Spirit AeroSystems assets represents both an opportunity and a responsibility, to deliver on its production targets, support its suppliers, and help shape the future of commercial aviation.
What is the timeline for the Spirit AeroSystems acquisition by Airbus? How is Airbus supporting Spirit AeroSystems ahead of the acquisition? What are Airbus’s production targets for 2025 and beyond? Why is the Spirit AeroSystems acquisition important for Airbus? What challenges remain for Airbus and its suppliers?
Airbus Supply Chain Progress and the Spirit AeroSystems Acquisition: Strategic Moves in a Changing Aerospace Landscape
Supply Chain Stabilization: Progress and Performance
Production Goals and Expansion Initiatives
Supplier Relations and Risk Management
The Spirit AeroSystems Acquisition: Strategic Rationale and Implications
Regulatory and Financial Considerations
Implications for Airbus and the Aerospace Industry
Conclusion: Looking Ahead in a Dynamic Industry
FAQ
The acquisition is expected to close in the fourth quarter of 2025, following regulatory approvals related to Boeing’s re-acquisition of Spirit AeroSystems.
Airbus has extended over $350 million in support to Spirit AeroSystems, including $200 million in credit lines and $152 million in direct financial assistance, to stabilize production on Airbus-related programs.
Airbus aims to deliver approximately 820 aircraft in 2025, representing a 7% increase over previous years. The company’s long-term goal is to reach a production rate of 75 narrow-body aircraft per month by 2027.
The acquisition secures critical supply chain assets for Airbus, particularly for the A220 and A350 programs, reducing dependency on external suppliers and enhancing production stability.
Ongoing challenges include regulatory approvals, inflationary pressures, workforce shortages, and the need to integrate acquired assets smoothly into Airbus’s operations.
Sources
Photo Credit: Airbus
Aircraft Orders & Deliveries
Qanot Sharq Receives First Airbus A321XLR in Central Asia
Qanot Sharq becomes Central Asia’s first operator of the Airbus A321XLR, expanding long-haul routes to North America and Asia from Tashkent.
This article is based on an official press release from Airbus and Qanot Sharq.
On December 19, 2025, Qanot Sharq, Uzbekistan’s first private airline, officially took delivery of its first Airbus A321XLR (Extra Long Range) aircraft. The delivery, facilitated through a lease agreement with Air Lease Corporation (ALC), marks a historic milestone for aviation in the region, as Qanot Sharq becomes the launch operator of the A321XLR in Central Asia and the Commonwealth of Independent States (CIS).
This aircraft is the first of four confirmed A321XLR units destined for the carrier. According to the official announcement, the airline intends to utilize the aircraft’s extended range to open new long-haul markets that were previously inaccessible to single-aisle jets, including planned services to North America and East Asia.
The newly delivered A321XLR is powered by CFM International LEAP-1A engines and features a two-class layout designed to balance capacity with passenger comfort on longer sectors. The aircraft accommodates a total of 190 passengers.
In addition to the seating configuration, the aircraft is fitted with Airbus’ “Airspace” cabin interior. Key features include customizable LED lighting, lower cabin altitude settings to reduce jet lag, and XL overhead bins that provide 60% more storage capacity compared to previous generation aircraft.
Nosir Abdugafarov, the owner of Qanot Sharq, emphasized the strategic importance of the delivery in a statement regarding the fleet expansion.
“The A321XLR’s exceptional range and efficiency will allow us to offer greater comfort and convenience while maintaining highly competitive operating economics.”
, Nosir Abdugafarov, Owner of Qanot Sharq
The introduction of the A321XLR allows Qanot Sharq to deploy a narrowbody aircraft on routes typically reserved for widebody jets. With a range of up to 4,700 nautical miles (8,700 km), the airline plans to connect Tashkent with destinations in Europe, Asia, and North America.
According to the airline’s strategic roadmap, the new fleet will support route expansion to Sanya (China) and Busan (South Korea). Furthermore, the airline has explicitly outlined plans to serve New York (JFK) via Budapest. While the A321XLR has impressive range, the distance between Tashkent and New York (approximately 5,500 nm) necessitates a technical stop. Budapest will serve as this intermediate point, potentially allowing the airline to tap into passenger demand between Central Europe and the United States, subject to regulatory approvals. AJ Abedin, Senior Vice President of Marketing at Air Lease Corporation, noted the geographical advantages available to the airline.
“Qanot Sharq is uniquely positioned to unlock the full potential of the A321XLR due to its strategic location in Uzbekistan, bridging Europe and Asia.”
, AJ Abedin, SVP Marketing, Air Lease Corporation
The delivery of the A321XLR signals a distinct shift in the competitive landscape of Uzbek aviation. Until now, long-haul flights from Tashkent,specifically to the United States,have been the exclusive domain of the state-owned flag carrier, Uzbekistan Airways, which utilizes Boeing 787 Dreamliners for non-stop service.
By adopting the A321XLR, Qanot Sharq appears to be pursuing a “long-haul low-cost” hybrid model. The A321XLR burns approximately 30% less fuel per seat than previous-generation aircraft, allowing the private carrier to operate long routes with significantly lower trip costs than its state-owned competitor. While the one-stop service via Budapest will result in a longer total travel time compared to Uzbekistan Airways’ direct flights, the lower operating costs could allow Qanot Sharq to offer more competitive fares, appealing to price-sensitive travelers and labor migrants.
Furthermore, the choice of Budapest as a stopover is strategic. If Qanot Sharq secures “Fifth Freedom” rights,which are currently a subject of regulatory negotiation,it could monetize the empty seats on the Budapest-New York sector, effectively competing in the transatlantic market while serving its primary base in Central Asia.
Sources: Airbus Press Release, Air Lease Corporation
Qanot Sharq Becomes First Central Asian Operator of Airbus A321XLR
Aircraft Configuration and Capabilities
Strategic Network Expansion
AirPro News Analysis: The Long-Haul Low-Cost Shift
Sources
Photo Credit: Airbus
Airlines Strategy
Kenya Airways Plans Secondary Hub in Accra with Project Kifaru
Kenya Airways advances plans for a secondary hub at Accra’s Kotoka Airport, leveraging partnerships and regional aircraft to boost intra-African connectivity.
This article summarizes reporting by AFRAA and official statements from Kenya Airways.
Kenya Airways (KQ) is moving forward with strategic plans to establish a secondary operational hub at Kotoka International Airport (ACC) in Accra, Ghana. According to reporting by the African Airlines Association (AFRAA) and recent company statements, this initiative represents a critical pillar of “Project Kifaru,” the airlines‘s three-year recovery and growth roadmap.
The proposed expansion aims to deepen intra-African connectivity by positioning Accra as a pivotal node for West African operations. Rather than launching a wholly-owned subsidiary, a model that requires heavy capital expenditure, Kenya Airways intends to utilize a partnership-driven approach, leveraging existing relationships with regional carriers to feed long-haul networks.
While the Kenyan government formally requested permission for the hub in May 2025, Kenya Airways CEO Allan Kilavuka confirmed in December 2025 that the plan remains under active study. A final decision on the full execution of the project is expected in 2026.
The core of the Accra strategy involves basing aircraft directly in West Africa to serve high-demand regional routes. According to details emerging from the planning phase, Kenya Airways intends to deploy three Embraer E190-E1 aircraft to Kotoka International Airport. These aircraft will facilitate regional connections, feeding passengers into the carrier’s long-haul network and supporting the logistics needs of the region.
This operational shift marks a departure from the traditional “hub-and-spoke” model centered exclusively on Nairobi. By establishing a presence in Ghana, KQ aims to capture traffic in a market currently dominated by competitors such as Ethiopian Airlines (via its ASKY partner in Lomé) and Air Côte d’Ivoire.
A key component of this strategy is the airline’s collaboration with Ghana-based Africa World Airlines (AWA). Kenya Airways signed a codeshare agreement with AWA in May 2022. This partnership allows KQ to connect passengers from its Nairobi-Accra service to AWA’s domestic and regional network, covering destinations like Kumasi, Takoradi, Lagos, and Abuja.
Industry observers note that this “capital-light” model reduces the financial risks associated with starting a new airline from scratch. Instead of competing directly on every thin route, KQ can rely on AWA to provide feed traffic while focusing its own metal on key trunk routes. The push for a West African hub comes as Kenya Airways navigates a complex financial recovery. The airline reported a significant milestone in the 2024 full financial year, posting an operating profit of Ksh 10.5 billion and a net profit of Ksh 5.4 billion, its first profit in 11 years. This resurgence provided the initial confidence to pursue the growth phase of Project Kifaru.
However, the first half of 2025 presented renewed challenges. The airline reported a Ksh 12.2 billion loss for the period, attributed largely to currency volatility and the grounding of its Boeing 787 fleet due to global spare parts shortages. These financial realities underscore the necessity of the proposed low-capital expansion model in Accra.
The strategy focuses on collaboration with existing African carriers rather than creating a new airline from scratch.
, Summary of Kenya Airways’ strategic approach
The viability of the Accra hub relies heavily on the Single African Air Transport Market (SAATM) and “Fifth Freedom” rights, which allow an airline to fly between two foreign countries. West Africa has been a leader in implementing these protocols, making Accra a legally feasible location for a secondary hub.
Furthermore, the African Continental Free Trade Area (AfCFTA) secretariat is headquartered in Accra. Kenya Airways is positioning itself to support the trade bloc by facilitating the movement of people and cargo between East and West Africa. The airline has already introduced Boeing 737-800 freighters to serve key destinations including Lagos, Dakar, Freetown, and Monrovia.
The decision to delay a final “go/no-go” confirmation until 2026 suggests a prudent approach by Kenya Airways management. While the West African market is lucrative, it is also saturated with aggressive competitors like Air Peace and the well-entrenched ASKY/Ethiopian Airlines alliance. By opting for a partnership model with Africa World Airlines rather than a full subsidiary, KQ avoids the “cash burn” trap that led to the collapse of previous pan-African airline ventures. If successful, this could serve as a blueprint for other mid-sized African carriers looking to expand without overleveraging their balance sheets.
What aircraft will be based in Accra? When will the hub become operational? How does this affect the Nairobi hub?
Kenya Airways Advances Plans for Secondary Hub in Accra Under ‘Project Kifaru’
Operational Strategy: The ‘Mini-Hub’ Model
Partnership with Africa World Airlines
Financial Context and ‘Project Kifaru’
Regulatory Landscape and Competition
AirPro News Analysis
Frequently Asked Questions
Current plans indicate that Kenya Airways intends to base three Embraer E190-E1 aircraft at Kotoka International Airport.
While planning is underway and government requests have been filed, a final decision on full execution is not expected until 2026.
Nairobi (Jomo Kenyatta International Airport) remains the primary hub. The Accra facility is designed as a secondary node to improve regional connectivity and feed traffic back into the global network.
Sources
Photo Credit: Embraer – E190
Commercial Aviation
Derazona Helicopters Receives First H160 for Energy Missions in Southeast Asia
Airbus delivers the first H160 to Derazona Helicopters in Indonesia, enhancing offshore oil and gas transport with advanced fuel-efficient technology.
This article is based on an official press release from Airbus Helicopters.
On December 19, 2025, Airbus Helicopters officially delivered the first H160 rotorcraft to Derazona Helicopters (PT. Derazona Air Service) in Jakarta, Indonesia. According to the manufacturer’s announcement, this delivery represents a significant regional milestone, as Derazona becomes the first operator in Southeast Asia to utilize the H160 specifically for energy sector missions, including offshore oil and gas transport.
The handover marks the culmination of a strategic acquisition process that began with an initial order in April 2021. Derazona, a historic Indonesian aviation company established in 1971, intends to deploy the medium-class helicopter for a variety of critical missions, ranging from offshore transport to utility operations and commercial passenger services.
The introduction of the H160 into the Indonesian market signals a shift toward modernizing aging fleets in the archipelago. Derazona Helicopters stated that the aircraft will play a pivotal role in their expansion within the oil and gas sector, a primary economic driver for the region.
In a statement regarding the delivery, Ramadi Widyardiono, Director of Production at Derazona Helicopters, emphasized the operational advantages of the new airframe:
“The arrival of our first H160 marks an exciting chapter for Derazona Helicopters. As the pioneer operator of this aircraft for energy missions in Southeast Asia, we are eager to deploy its unique capabilities to serve our various clients with the highest levels of safety and efficiency. The H160’s proven performance will be key to reinforcing our position as a leader in helicopter services in Southeast Asia.”
Airbus executives echoed this sentiment, highlighting the aircraft’s suitability for the demanding geography of Indonesia. Regis Magnac, Vice President Head of Energy, Leasing and Global Accounts at Airbus Helicopters, noted the importance of this partnership:
“We are proud to see the H160 enter service in Southeast Asia, cementing our relationship with Derazona as they become the region’s launch customer for energy missions. The H160 represents a true generational leap, built to be an efficient, reliable, and comfortable workhorse, perfectly suited for the demanding operational requirements of the Indonesian energy sector.”
According to technical data provided by Airbus, the H160 is designed to replace previous-generation medium helicopters such as the AS365 Dauphin and H155. The aircraft incorporates several proprietary technologies aimed at improving safety and reducing environmental impact.
Key technical features cited in the release include: Airbus claims the H160 delivers a 15% reduction in fuel burn compared to previous generation engines, aligning with the energy sector’s increasing focus on reducing Scope 1 and 2 emissions in their logistics supply chains.
The delivery of the H160 to Derazona Helicopters reflects a broader trend we are observing across the Asia-Pacific aviation market: the prioritization of “eco-efficient” logistics. As oil and gas majors face stricter carbon reporting requirements, the pressure cascades down to their logistics providers.
By adopting the H160, Derazona is not merely upgrading its fleet age; it is positioning itself competitively to bid for contracts with energy multinationals that now weigh carbon footprint heavily in their tender processes. The move away from legacy airframes like the Bell 412 or Sikorsky S-76 toward next-generation composite aircraft suggests that fuel efficiency is becoming as critical a metric as payload capacity in the offshore sector.
Who is the operator of the new H160? What is the primary use of this aircraft? How does the H160 improve upon older helicopters? When was this specific aircraft ordered? Sources: Airbus Helicopters Press Release
Derazona Helicopters Becomes Southeast Asia’s First H160 Energy Operator
Modernizing Indonesia’s Energy Fleet
Technical Profile: The H160
AirPro News Analysis
Frequently Asked Questions
The operator is PT. Derazona Air Service (Derazona Helicopters), an Indonesian aviation company headquartered at Halim Perdanakusuma Airport, Jakarta.
It will be used primarily for offshore energy transport (supporting oil rigs), as well as utility missions and VIP transport.
The H160 offers a 15% reduction in fuel consumption, significantly lower noise levels due to Blue Edge™ blades, and advanced Helionix® avionics for improved safety.
Derazona originally placed the order for this H160 in April 2021.
Photo Credit: Airbus
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