Another Airbus Order Announced

Airbus has confirmed another new aircraft order, agreeing with leading aircraft lessor BOC Aviation.

The contract includes the purchase of three aircraft, comprising two A321neo and one A320neo.

However, unlike many aircraft orders placed by lessors, which at the time of their purchase have no pre-determined end destination or at least not one that has been publicly disclosed, this is the opposite.

The three aircraft being purchased by the lessor from Airbus are set to be delivered to JETSmart Airlines, an ultra-low-cost carrier in South America, as the airline attempts to renew its fleet.

BOC Aviation confirms that the aircraft will be placed here on long-term leases and will have their delivery scheduled for sometime in 2027, all jets to feature Pratt & Whitney GTFTM engines.

Once delivered, the Airbus aircraft are expected to play an essential role in the development of the Latin American Market for JetSMART.

Additionally, the purchase, which represents the third transaction between the airline and lessor, demonstrates that BOC Aviation is well-positioned to offer existing and prospective customers, thereby deepening its commitment to new aircraft.

While BOC Aviation aims to provide aircraft and thereby support fleet growth ambitions, it also plays a role in helping with fundamental financial solutions.

For JetSMART, the new Airbus aircraft arriving is part of efforts to grow across the region with 120 aircraft targeted by 2031. Moreover, with 100 million passengers expected to be carried by 2028, the new additions will help support this growth.

Airlines Snap Up Airbus Aircraft

Over recent years, and particularly following the emergence from the COVID-19 pandemic, deals for new commercial aircraft have become increasingly prominent and substantial.

These companies, which are rebounding from the pandemic, are finding ways to match the stronger levels of demand while reducing their own businesses’ operating expenses and cutting emissions.

Next-generation aircraft are being picked up at a rapid rate, and each year, backlogs are strengthened by hundreds.

However, the rush has only created a battle for available delivery slots with airlines that come equipped with financial strength, enabling them to push ahead with multi-billion-dollar aircraft orders, such as those seen at Emirates, Qatar Airways, IndiGo, Air India, among others.

This means that order books are filling up, and the availability of new deliveries is also scarce. For those companies without deeper pockets, the ability to prepare for the future becomes a greater challenge as the scarcity of slots grows.

Airlines that don’t have the opportunity to go directly through planemakers, therefore, look towards the leasing market in the hopes of finding an opportunity. Still, even this avenue is facing heightened pressure.