Page 9 - AAA JUNE - JULY 2022 Online Magazine

northeast U.S. and destinations in south, central OF MARKETS THEY CAN’T SERVE WITH A STANDARD
and northern Europe. “The incredible extended A321 OR A STANDARD A32. EVERY SINGLE ONE OF
range of the A321XLR allows us to evaluate THE 737 MAX VARIANTS … FLIES FARTHER THAN
even more overseas destinations as we think
about JetBlue’s expansion into European mar- AN A321NEO WITHOUT TANKS. SO, THE XLR IS
kets plagued by high premium fares and subpar SOMETHING THEY NEED TO GET FURTHER AND ALSO
service,” says Robin Hayes, chief executive offi- PROVIDES SOME VALUE TO AIRLINES THAT DON’T
cer, JetBlue.
WANT TO PAY WIDEBODY COSTS FOR WHAT HAS
The XLR version has evoked plenty of interest TRADITIONALLY BEEN A WIDEBODY MARKET.”
in the Middle East, with Air Arabia having the
most significant order so far, for 20 aircraft. The largest segment of the single-aisle market doesn’t represent
Lebanese national flag carrier Middle East “even half the demand going forward,” claims Hulst. “It’s not our
Airlines (MEA), which is scheduled to take its goal necessarily to match Airbus plane-for-plane at the top end
first three aircraft of the type in 2024 and the of the market, especially since I think we have a more compelling
fourth in 2025, is planning to use them to add value proposition with the 8 and the 9 as well. We wouldn’t have
frequencies on existing routes as well as to launched the Max 10 if we didn’t acknowledge there was a market
introduce new routes between Lebanon and above the 737-8 and (737-9). However, I think it’s important to note
Africa. Low-cost Saudia Arabian carrier flynas the total size of the market and what airlines value in terms of their
has a firm order for 10 A321XLR aircraft, future fleets.”
with deliveries expected in 2025. JetSMART
and SKY Airline will be the launch customers
of the XLR version in Latin America and the
Caribbean. Wizz Air, the largest European
operator of the A321XLR to date with 47 on
order, Dublin-based Aer Lingus, Spain’s Iberia,
Air Canada, VietJet Air, Air Asia X, and Cebu
Pacific are among the other carriers waiting to
induct the new jet into their fleet.

Ready to Battle it Out
With the A321neo operating the longest non-
stop narrow-body long-haul flight and the XLR
version set to further boost such operations
from 2024, Airbus has the early lead at the top
end of the single-aisle market, but Boeing offi-
cials are confident that it can still earn a sizable
market share. Darren Hulst, Boeing’s commer- Getting Busy Again
cial marketing chief, does not agree that the With the industry showing signs of recovering faster than expected
company has yielded market share to Airbus from the pandemic and expected to reach pre-Covid levels by
without a competitor for the 244-seat A321neo. 2023, both Airbus and Boeing are planning to step up production.
Speaking to reporters and analysts recently at Airbus is working to ramp up production on the A320 family to 75
the company’s Everett production facility, Hulst jets per month by 2025, with rates set to go up to 65 per month
said that although United last year ordered 70 from its current 50 by the middle of next year. With China’s aviation
long range Airbus A321neos, the carrier had safety agency clearing the way in December 2021 for the 737 MAX
also ordered 50 MAX 8s and 150 MAX 10s. The aircraft to return to commercial service, and the jet already pressed
versatility that Boeing offers airlines with the into service in other regions, Boeing initially intends to increase
five different MAX models, in different sizes and output and stabilize production at 31 jets per month. The company
ranges, cannot be matched, he added.
is also making progress in its attempts to get FAA approval for the
737 MAX 10 aircraft but has not offered a clear timeline on when
Orders for the A321XLR only constituted it expects a decision on the issue. With the FAA indicating that
around 10% of the A321’s overall orders, said certification of the MAX 10 before the end of this year is unlikely,
Hulst. the American aerospace giant will be hoping that it gets an exten-
“YOU’RE TALKING ABOUT A sion from the US Congress to get the certification. If that does not
FRACTION OF A FRACTION OF happen, the jet will require significant system re-design under the
THE MARKET THAT AIRLINES ARE new US legislation - passed after the fatal MAX crashes, which
CHOOSING FOR A SPECIFIC NICHE stipulates that aircraft certified after December 31, 2022, should
comply with current FAA crew-alerting regulations.

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