This article is based on an official press release from Boeing and Air Cambodia.

Air Cambodia Selects Boeing for Historic Fleet Expansion with Order for up to 20 737 MAX Jets

In a landmark announcement at the Singapore Airshow on February 3, 2026, Air Cambodia and The Boeing Company revealed a significant agreement for the airline to purchase up to 20 Boeing 737-8 MAX aircraft. This order represents a major strategic pivot for the carrier, formerly known as Cambodia Angkor Air, as it commits to its first-ever purchase of Boeing jets.

According to the official press release, the deal supports Air Cambodia’s aggressive international expansion strategy following its rebranding earlier this year. The agreement includes 10 firm orders, which were finalized in December 2025 and previously listed as unidentified on Boeing’s orders and deliveries website, alongside 10 options for future purchase. At list prices, the deal is valued at approximately $2.4 billion, though airlines typically receive undisclosed discounts for orders of this magnitude.

The selection of the 737-8 MAX marks a departure from the airline’s historical reliance on Airbus and ATR aircraft, signaling a new era of fleet diversification for the Southeast Asian carrier.

Deal Structure and Delivery Timeline

The agreement outlines a long-term partnership between the Phnom Penh-based carrier and the U.S. manufacturer. While the financial commitment is substantial, the delivery timeline reflects the current realities of the global aerospace supply chain. The first Boeing 737-8 is scheduled to join Air Cambodia’s fleet in 2031.

Dr. David Zhan, CEO of Air Cambodia, emphasized the operational benefits of the new airframe in the company’s statement:

“The 737-8 gives Air Cambodia the ideal combination of range, capacity and fuel efficiency to support our next phase of growth. This investment, Air Cambodia’s largest narrowbody purchase, will let us launch direct services to important markets across North and Southeast Asia, and offer competitively priced travel for passengers.”

Strategic Rebranding and Market Expansion

This order comes shortly after the airline officially rebranded from “Cambodia Angkor Air” to “Air Cambodia” on January 1, 2025. The name change reflects a broader mandate to serve as a primary connector for the nation, moving beyond a focus on tourism to Angkor Wat to becoming a key player in regional business travel.

Historically, the airline operated a mixed fleet of Airbus A320/A321s for international routes and ATR 72 turboprops for domestic connections. The introduction of the 737 MAX is intended to facilitate new direct routes to high-demand markets that were previously underserved or economically unviable. Specifically, the airline is targeting expansion into North Asia, including Tokyo, Seoul, and Beijing, and major Indian hubs like New Delhi and Mumbai.

AirPro News Analysis: A Multi-Source Fleet Strategy

The following section is analysis by AirPro News.

The decision to introduce Boeing aircraft into an all-Airbus jet fleet is a calculated move toward diversification. By operating a mixed fleet, Air Cambodia mitigates the risk of relying on a single manufacturer, a strategy that has become increasingly relevant amidst global supply chain disruptions. Furthermore, reports indicate the airline has also engaged with Chinese manufacturer COMAC regarding C909/C919 aircraft. This “multi-source” approach suggests the airline is leveraging political and economic ties across the U.S., Europe, and China to secure delivery slots and favorable financing.

The 2031 delivery start date is also notable. It highlights the significant backlog facing Boeing and the long lead times required for new aircraft orders in the current market. For Air Cambodia, this timeline aligns with national infrastructure projects, including the development of new international airports expected to be fully operational and scaling up by the next decade.

Technical Capabilities of the 737-8

The Boeing 737-8 was selected for its specific performance metrics, which align with Air Cambodia’s route planning. The aircraft offers a range of up to 3,500 nautical miles (6,480 km), sufficient to connect Cambodia to virtually any major city in Asia without refueling.

According to Boeing, the 737-8 reduces fuel use and CO2 emissions by 20% compared to the older aircraft it replaces, driven by the efficiency of its CFM International LEAP-1B engines and advanced technology winglets. Air Cambodia has confirmed the aircraft will be outfitted with a two-class configuration (Business and Economy), accommodating between 162 and 178 passengers.

Mao Havannall, Minister in Charge of the State Secretariat of Civil Aviation (SSCA), noted the broader economic impact of the deal:

“The deployment of the Boeing 737 MAX aircraft in Cambodia will contribute to strengthening the aviation sector, which is playing an important role in promoting the economy, tourism, and culture for sustainable development in Cambodia.”

Frequently Asked Questions

When will Air Cambodia receive the new Boeing jets?

The first Boeing 737-8 MAX is scheduled for delivery in 2031.

How many aircraft did Air Cambodia order?

The order consists of 10 firm orders and 10 options, totaling up to 20 aircraft.

Is this Air Cambodia’s first Boeing aircraft?

Yes. The airline has historically operated Airbus and ATR aircraft. This is their first direct order with Boeing.

What routes will these planes fly?

The aircraft are intended for medium-haul international routes, specifically targeting North Asia (Japan, Korea, China) and India.

Sources: Boeing Mediaroom

Aircraft Lessors Remain Resilient Amidst 2026 Geopolitical and Financial Risks

Despite a global landscape fractured by trade disputes, rising interest rates, and what industry insiders are calling a “transatlantic rift,” the global aircraft leasing sector projects a unified stance of confidence. According to reporting by Reuters from the Airline Economics Growth Frontiers Dublin 2026 conference, top executives believe the industry is insulated from broader macroeconomic shocks by a single, undeniable reality: a severe shortage of aircraft.

The conference, which serves as the premier annual gathering for aviation finance, took place in late January 2026 against a backdrop of “jittery markets.” Reuters reports that while risks are accumulating, ranging from a $19.3 billion refinancing wall to potential U.S. tariffs on European goods, lessors are successfully “steering a steady course.”

The prevailing sentiment in Dublin was that the fundamental imbalance between high travel demand and low aircraft supply has created “guardrails” for the sector. With lessors now managing approximately 50% of the global commercial fleet, their role as critical intermediaries has never been more pronounced.

Supply Shortages Create Market ‘Guardrails’

The primary driver of industry optimism is the chronic inability of manufacturers to meet delivery targets. According to the Reuters report, production delays at both Airbus and Boeing have kept lease rates high and asset values stable. This scarcity effectively protects lessors from the downturns that might otherwise result from economic volatility.

Steven Udvar-Hazy, Chairman of Air Lease Corporation, emphasized the magnitude of this demand during the conference.

“Backlogs have reached almost stratospheric levels.”

— Steven Udvar-Hazy, via Reuters

The reporting highlights a specific supply chain phenomenon known as “gliders”, newly built jets sitting at factories without engines due to component shortages. While this is a frustration for airlines desperate for capacity, it reinforces the pricing power of lessors who hold available inventory. Tom Baker, CEO of Aviation Capital Group, described the market to Reuters as “shockingly stable,” crediting the lack of supply for insulating the sector from the usual cyclical downturns.

Navigating the ‘Transatlantic Rift’ and Financial Pressures

While the supply-demand dynamic is positive, the Reuters report details significant headwinds facing the sector in 2026. These risks are categorized into geopolitical tensions and direct financial hurdles.

The Geopolitical Trade War

A major theme at the Dublin conference was the deepening diplomatic dispute between the U.S. administration and European allies. Reuters identifies this as a “transatlantic rift,” triggered specifically by U.S. proposals regarding Greenland and subsequent threats of tariffs on European goods.

These tensions threaten to disrupt the traditionally tariff-free status of aircraft trading. However, industry leaders noted that the inherent mobility of their assets allows them to navigate trade barriers more effectively than fixed industries. Firoz Tarapore, CEO of Dubai Aerospace Enterprise, offered a cautionary note in the report, warning that “knee-jerk reactions” from governments regarding trade policy could evolve into “chronic” issues for the global economy.

The $19.3 Billion Refinancing Wall

Financially, the sector faces a massive maturity deadline. Reuters cites data indicating that approximately $19.3 billion in senior corporate debt is set to mature in 2026. This “refinancing wall” comes at a time when interest rates remain high, increasing the cost of capital.

Additionally, the report highlights concerns over a U.S. proposal to cap credit card interest rates at 10%. This policy could severely impact airline loyalty programs, which are major profit centers for carriers, potentially weakening the creditworthiness of the airlines that lease these jets.

Executive Sentiment: Focus on Execution

The Reuters coverage contrasts the views of various industry titans regarding how manufacturers should proceed. Aengus Kelly, CEO of AerCap, dismissed recent market volatility, including spikes in gold prices, as “excessive reactions.” His advice to manufacturers was blunt:

“Focus on the factory.”

— Aengus Kelly, via Reuters

Kelly urged Airbus to prioritize delivering existing orders rather than launching new jet models. This contrasted slightly with Udvar-Hazy, who expressed support for a larger version of the Airbus A220 to fill specific market niches. Meanwhile, Lars Wagner, the newly appointed CEO of Airbus Commercial Aircraft, used the conference to commit to “execution” and production ramp-ups.

AirPro News Analysis

The Disconnect Between Macro-Chaos and Micro-Stability

The reporting from Dublin illustrates a fascinating disconnect in the 2026 aviation landscape. On the macro level, the indicators are flashing red: trade wars, high interest rates, and political unpredictability. Yet, on the micro level of aircraft leasing, the indicators are green. This resilience is not accidental; it is structural.

Because manufacturers cannot build planes fast enough to meet travel demand, the asset class itself, the aircraft, has become a store of value comparable to gold in this specific cycle. Furthermore, the leasing model provides a geopolitical hedge. When a “transatlantic rift” occurs, a factory cannot move, but a leased aircraft can be redomiciled or repossessed and moved to a neutral jurisdiction. This mobility is the “guardrail” that allows lessors to sleep soundly while the broader markets remain jittery.

Frequently Asked Questions

What is the “refinancing wall” mentioned in the report?

It refers to the approximately $19.3 billion in senior corporate debt within the aviation leasing sector that is maturing in 2026, requiring companies to refinance at potentially higher interest rates.

How does the U.S. credit card proposal affect airlines?

The proposal to cap credit card interest rates at 10% could reduce the profitability of airline loyalty (frequent flyer) programs, which are often tied to co-branded credit cards. This could reduce overall airline revenue and credit quality.

What are “gliders” in the context of aviation?

The term refers to newly manufactured aircraft that are fully built but are sitting at factories waiting for engines due to supply chain shortages.

Sources

• Reuters

This article summarizes reporting by AviTrader and Heike Tamm.

Falko Secures US$672 Million Financing for Regional Aircraft Fund II

Falko Regional Aircraft Limited, a leading asset manager specializing in the regional Commercial-Aircraft sector, has successfully closed a significant financing facility valued at US$672 million. According to reporting by AviTrader, the transaction was finalized in December 2025 and is intended to refinance existing debt within the Falko Regional Aircraft Opportunities Fund II (Fund II).

The deal underscores the continued financial viability of the regional aircraft market, specifically the 50–150 seat segment. As noted in the report by Heike Tamm, the facility is secured by a portfolio of 68 aircraft, providing a robust collateral base for the lending consortium.

Transaction Details and Lenders

The US$672 million facility involves a syndicate of major global financial institutions, highlighting strong market confidence in Falko’s asset management strategy. Based on data regarding the deal structure, the lead arrangers and structuring agents included:

• Citibank, N.A.
• Deutsche Bank AG (New York Branch)
• Goldman Sachs Bank USA
• Bank of America, N.A.
• Royal Bank of Canada

According to the coverage, the primary purpose of this capital injection is to refinance existing debt facilities associated with Fund II. This move optimizes the capital structure of the fund, which was originally launched in 2019 as a vintage buyout fund targeting regional aviation assets.

Fund II Portfolio and Strategy

Falko’s Fund II is dedicated to the regional sector, a niche that has shown resilience amidst broader aviation supply chain constraints. While a specific itemized list of the 68 aircraft serving as collateral was not released, the fund’s strategy focuses on generating stable cash flows through operating leases.

Industry data indicates that the portfolio likely includes a mix of modern regional jets and turboprops. Common asset types in Falko’s broader management portfolio include Embraer E-Jets (E170/E175/E190/E195), Bombardier CRJ900s, and De Havilland Canada Dash 8-400 turboprops. These aircraft are typically leased to major flag carriers and regional operators globally, with recent activity involving carriers such as LOT Polish Airlines and Air Canada.

Corporate Ownership Context

This financing event follows a major corporate transition for Falko. In December 2024, just prior to this deal, HPS Investment Partners, LLC completed its acquisition of Falko from Chorus Aviation Inc. The sale, valued at approximately US$1.9 billion, transferred Falko to HPS, a global credit investment firm with over $100 billion in assets under management. This change in ownership appears to have provided Falko with substantial backing to execute large-scale financial maneuvers like the Fund II refinancing.

AirPro News Analysis

The Resilience of Regional Aviation

The successful closure of a US$672 million facility with top-tier banks suggests that the financial markets view regional aviation assets as a stable, bankable asset class. Despite the volatility often seen in the widebody market, the 50–150 seat segment remains vital for connecting secondary cities to major hubs.

We observe that persistent delivery delays from major manufacturers like Boeing and Airbus have forced airlines to extend leases on existing aircraft. This dynamic keeps utilization rates and lease rates high for mid-life regional jets. For lessors like Falko, this supply shortage creates a favorable environment for refinancing, as the underlying asset values remain robust due to high demand.

Frequently Asked Questions

What is the Falko Regional Aircraft Opportunities Fund II?
Fund II is a vintage buyout fund launched by Falko in 2019. It targets investments in the regional aircraft sector, specifically aircraft with 50 to 150 seats.

Who are the lenders for this facility?
The facility was arranged by a consortium including Citibank, Deutsche Bank, Goldman Sachs, Bank of America, and Royal Bank of Canada.

What assets secure the loan?
The US$672 million facility is secured by a portfolio of 68 regional aircraft managed under Fund II.

Sources

• AviTrader