There is a shortage of 5000 fuel-efficient replacement aircraft with 18,000 planes order backlog for airlines

The International Air Transport Association has identified four priorities to address persistent failures in the aerospace supply chain.

The four-priority identification was tabled during the inaugural IATA World Maintenance and Engineering Symposium in Madrid; Spain, include; Enhancing supply chain visibility, opening up the aftermarket, Unlock the value of data, digitalization, and artificial intelligence (AI) and building human capacity.

Supply chain failures were a focal point at the International Air Transport Association (IATA)’s recent Annual General Meeting.

In his Report on the Air Transport Industry, the IATA’s Director General Willie Walsh, said the aircraft order backlog is over 18,000. And the average fleet age has reached a record 15.2 years.

“Moreover, being short over 5,000 more fuel-efficient replacement aircraft that airlines had counted on, means missed efficiency gains, not to mention higher lease rates and increased maintenance costs. In total, supply chain failures cost airlines at least US$11 billion in 2025. Today’s higher fuel prices will only make that worse,” Walsh stated.

On his part, the IATA’s Director, Flight and Technical Operations, Stuart Fox pointed out that alongside aircraft delivery delays, engine durability issues, shortages of materials and spare parts, and constrained maintenance capacity are disrupting airline operations.

“Addressing these challenges will require practical action and cooperation across the aviation value chain,” Fox said as he presented the Symposium with four measures which could contribute to improving the situation:

Enhanced Supply Chain Visibility:

IATA encouraged earlier and more reliable information from manufacturers to airlines on delivery delays, repair turnaround times, parts availability, and known bottlenecks to enable airlines to better plan the operations of their global networks.

Open Up the Aftermarket:

IATA called for more manufacturers to commit to key principles included in the IATA-CFM agreement in support of greater aftermarket competition by reinforcing access to third-party MRO services, alternative parts, and approved repairs.

Longstanding commercial restrictions on repair instructions, tooling, approved repair networks, and spares distribution can limit airlines’ ability to use safe, certified alternatives. This reduces choice and competition, contributes to longer waiting times, and increases costs.

Unlock Data, Digitalization, and Artificial Intelligence

IATA called for better integration between airline maintenance systems and external market intelligence to improve inventory management, identify material availability and scarcity, support repair-or-replace decisions, and strengthen warranty claims. AI can further support these processes by predicting demand, identifying shortages, and reducing manual work.

IATA’s cooperation with the International Airlines Technical Pool (IATP) to help airlines improve visibility of, and access to, aircraft parts, and making MRO SmartHub available to airlines at no cost through a data participation program, are two examples of initiatives supporting this priority.

Build Human Capacity

IATA urged a review of recruitment, training, and licensing maintenance technicians to reduce timelines, expand reach, and improve job stability.

Demand for maintenance technicians is expected to grow as evidenced by Boeing’s estimation that 710,000 new technicians will be needed over the next 20 years.

Increasing training capacity, reducing unnecessary qualification bottlenecks, and creating greater recognition of skills across borders will all help to fill this gap.

“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,” said Fox.

Make Aircraft Mandates Deliverable

IATA also called for realistic and globally coordinated timelines for mandates requiring new aircraft equipment or avionics upgrades.

Compliance deadlines must take account of equipment certification and availability, installation capacity and wider supply chain conditions.

IATA has raised these concerns with the International Civil Aviation Organization (ICAO), including in relation to requirements connected with the Global Aeronautical Distress and Safety System (GADSS), Runway Overrun Awareness and Alerting Systems (ROAAS), and Automatic Dependent Surveillance–Broadcast (ADS-B).

“This is not about delaying safety. It is about making safety deliverable. Global safety improvements require globally coordinated implementation timelines that reflect certification, equipment availability, and installation capacity,” said Fox.