IATA: Surge in 2020 Aircraft Deliveries will Challenge Capacity | Aviation International News

IATA: Surge in 2020 Aircraft Deliveries will Challenge Capacity

The global airline body urges regulators to take a “harmonized approach” on the return to service of the Boeing 737 Max.

By Cathy Buyck • Contributor - Europe

December 16, 2019

The International Air Transport Association predicts that new aircraft deliveries will reach a new 10-year peak in 2020 following a slump this year, though it cautions that a too-rapid growth of passenger capacity could cause load factors to slide and put pressure on yields. “Even if demand growth picks up in 2020, there is a threat that supply could rise even faster, given the 2,100-plus aircraft that are scheduled to be delivered once, as expected, the Boeing 737 Max returns to service,” chief economist Brian Pearce said at the airline trade body’s recent global media days in Geneva. “At 7.5 percent of the fleet, that represents an addition of more than 2 percentage points.”

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