Airbus has intensified its legal dispute with Pratt & Whitney over delayed deliveries of Geared Turbofan (GTF) engines, critical for A320neo and A220 production. During its fiscal year 2025 earnings presentation, CEO Guillaume Faury confirmed Airbus is enforcing contractual rights to secure the agreed engine volumes for 2026, amid shortfalls impacting production ramp-up.
The European planemaker attributes its moderated A320neo targets directly to Pratt & Whitney, stating the supplier’s failure to commit to ordered engines is hindering 2026 guidance and trajectory. Airbus now expects a monthly production rate of 70-75 aircraft by end-2027, stabilizing at 75 thereafter, down from prior forecasts. Overall, it projects 870 jet deliveries in 2026, up 10% from 793 in 2025.
Faury criticized Pratt & Whitney for prioritizing maintenance, repair, and overhaul (MRO) for its in-service fleet over new engine production. “Pratt & Whitney want to allocate a large part of their efforts to supporting the fleet,” Faury said. “We are very dissatisfied with this.” The issues stem from Pratt & Whitney’s powder metal contamination recall and GTF durability challenges, straining parts supply for both new builds and grounded aircraft.
Pratt & Whitney counters that output rose 39% in Q4 2025, with CEO Chris Calio noting improvements through 2026 via investments. Negotiations continue, but Airbus anticipates persistent uncertainty. CFM International, supplier of Leap-1A engines, has recovered from its delays and prioritizes commitments, though not increasing volumes amid the dispute.
This conflict underscores aerospace supply chain strains, with Pratt & Whitney powering 40% of A320neo jets as post-COVID production scales against global demand.