IATA Outlines Four Priorities to Fix Aviation Supply Chain

Supply-Chain disruptions cost global airlines at least $11 billion in 2025, prompting the International Air Transport Association (IATA) to outline four strategic priorities aimed at stabilizing the aerospace manufacturing and maintenance sectors.

The framework was presented on June 24, 2026, during the inaugural IATA World Maintenance and Engineering Symposium in Madrid. According to a press release issued by the organization, the industry is grappling with a record average global fleet age of 15.2 years and an aircraft order backlog exceeding 18,000 airframes. Airlines are currently facing a shortfall of more than 5,000 fuel-efficient replacement aircraft. This deficit is driving up lease rates and increasing maintenance costs across the sector.

Four priorities for supply chain resilience

IATA identified four core areas requiring immediate cooperation among original equipment OEMs, suppliers, maintenance, repair, and overhaul (MRO) providers, lessors, and regulators. The priorities include enhancing supply chain visibility, opening up the aftermarket, unlocking data and digitalization, and building human capacity.

To address visibility, IATA announced it is making the core features of its MRO SmartHub available to airlines at no cost through a data participation program. This initiative is designed to help carriers identify available used serviceable material and assess approved alternative parts.

Regarding human capacity, the organization cited Boeing estimates indicating the industry will need 710,000 new maintenance technicians over the next two decades.

IATA Director of Flight and Technical Operations Stuart Fox emphasized the need for collaboration across the aviation value chain.

“The supply chain is under real pressure, but this is not a reason for pessimism. It is a reason for action. These four priorities alone are not complete solutions. But they would be an important step for OEMs, suppliers, MROs, lessors, regulators, and airlines working together to achieve the resilient aerospace supply chains that global connectivity needs,” Fox stated.

Engine bottlenecks and regulatory timelines

The symposium coincided with the release of a joint study by IATA and consulting firm Emerton focusing on MRO bottlenecks for single-aisle aircraft engines. The study highlighted severe operational disruptions caused by engine durability issues, spare parts shortages, and constrained aftermarket access for operators of CFM International LEAP and Pratt & Whitney Geared Turbofan (GTF) engines.

According to the study, groundings of GTF-powered aircraft peaked at 648 airframes in March 2025, representing 28 percent of the global GTF fleet. Looking ahead, the industry faces a steep increase in maintenance demand. Annual shop visits for CFM LEAP engines are forecast to exceed 5,000 by 2040, up from between 600 and 800 in 2025. Similarly, GTF engine shop visits are projected to surpass 2,000 annually by 2040, compared to 1,000 in 2025.

Regulatory compliance challenges

In response to these constraints, IATA has formally raised concerns with the International Civil Aviation Organization (ICAO) regarding the timelines for new equipment mandates. The association argues that compliance deadlines for systems such as the Global Aeronautical Distress and Safety System (GADSS), Runway Overrun Awareness and Alerting Systems (ROAAS), and Automatic Dependent Surveillance-Broadcast (ADS-B) must reflect current supply chain realities.

Fox noted that adjusting these timelines is a practical necessity rather than a compromise on safety. “This is not about delaying safety. It is about making safety deliverable,” Fox stated, adding that global safety improvements require coordinated timelines that account for certification, equipment availability, and installation capacity.

AirPro News analysis

The $11 billion cost figure attached to supply chain failures in 2025 underscores a structural vulnerability in the current commercial aviation model. While OEMs focus heavily on ramping up production rates to clear their massive 18,000-aircraft backlogs, the existing fleet is aging rapidly. This dynamic forces airlines to operate older aircraft longer than anticipated, which in turn places unprecedented strain on an MRO network already starved for parts and labor. IATA’s pushback against ICAO mandate timelines is particularly telling. It signals that the supply chain crisis has evolved from a commercial inconvenience into a limiting factor for the rollout of next-generation safety technologies. Until the aftermarket constraints for critical components like the CFM LEAP and Pratt & Whitney GTF engines are resolved, we expect to see continued friction between regulatory ambitions and operational realities.

Sources: International Air Transport Association (IATA)