After facing technical issues in Airbus Group SE A320neo, Qatar Airways lost its confidence in the aircraft earlier last year and refused to take deliveries of the aircraft till issues are resolved. The airline ordered the aircraft equipped with engines manufactured by United Technologies Corporation’s Pratt & Whitney, which had technical issues that caused delays in delivery.
Off late, Qatar Airways is reportedly in talks with French-American engine manufacturer, CFM International, that also supplies engines for Airbus A321neo. However, the airline has not yet finalized the deal. Analysts related to the industry believe that the airline might place a new order for Airbus A321neo, equipped with CFM International engines, to expand its aircraft fleet.
Amid technical issues in the aircraft, Qatar Airways may place the new order based on delivery and performance guarantees. The airline might also switch its order from Pratt & Whitney engines to CFM International engines, despite the fact that it received attractive prices for engines from Pratt & Whitney.
Earlier last year, based on the technical issues in Pratt & Whitney engines, Qatar Airways also placed a new order for Boeing Co.’s 737 single aisle commercial jets as a replacement order, as the delay in Airbus aircraft delivery was adversely affecting the airline’s flight expansion plans. Qatar Airways had scheduled flight expansion based on the schedule aircraft deliveries from Airbus that were adversely affected.
Despite facing technical issues in the aircraft, Airbus reported promising order and deliveries during fiscal year 2016 most of which was done during the second half of the year. The aircraft manufacturer remains positive that it will continue smooth aircraft production during fiscal year 2017 to remain competitive in the market.
The company received a lot of criticism from the market along with its investors during 2016 when it faced technical issues and its deliveries were delayed. Earlier this week, it was reported that the aircraft manufacturer plans to deliver a total of 700 commercial jets by end of this year.