UAE and Saudi Airlines Soar in Aircraft Orders at Dubai Airshow 2023
- Dubai Airshow set to be largest ever, with 1,400 exhibitors from 95 countries.
- Emirates, flydubai, and Riyadh Air may announce fleet expansions.
- Airbus secured 404 orders, Boeing 101 at 2021’s Dubai Airshow.
As the Dubai Airshow kicks off on Monday, November 13, all eyes are on UAE and Gulf airlines poised to announce fleet expansion orders.
Emirates, flydubai, and Riyadh Air will take center stage, potentially contributing to an already exceptional year in aviation.
Amid a global travel resurgence, airlines are keen on modernizing and expanding their fleets with fuel-efficient aircraft.
Throughout the year, Emirates, flydubai, and Riyadh Air have hinted at their interest in acquiring both wide and narrow-body aircraft, setting the stage for the Dubai Airshow to potentially surpass previous records in aircraft orders.
In 2021, Airbus secured 404 orders, while Boeing received 101 orders during the event.
Plans for UAE carriers
- * Tim Clark, President of Emirates, hoped to get the long-delayed 777-9 version between July and October 2025.
- * flydubai, which operates an all-Boeing fleet, also said it was discussing a new order of narrow-body aircraft. CEO Ghaith Al Ghaith had acknowledged in September that the airline fell short of its passenger-carrying expectations over the summer due to delays in aircraft deliveries, specifically the Boeing 737 MAXs. Al Ghaith said the carrier remains ‘extremely interested’ in further aircraft acquisitions.
Aviation industry analyst John Strickland of JLS Consulting said, “On paper, manufacturers order books are full several years ahead, but we can expect some new announcements at the Dubai show.”
“flydubai has indicated for some time that it has been planning a new order and studying options from Airbus – as well as its current supplier Boeing.”
Strickland mentioned that Emirates, having recently revealed record half-year results, anticipates substantial upcoming orders.
However, the focus extends beyond these immediate plans, as the airline strategically looks ahead to the next decade.
During this period, Emirates will address the necessity of replacing its sizable A380 fleet.
“That is a complex decision as no other aircraft of similar size is available,” said Strickland.
Riyadh Air to unveil second livery
“Saudi airline Riyadh Air is in the market for a short-haul fleet, having announced orders for long-haul Boeing 787s,” he added. “So, there may be news on this at the show.”
The airline has also confirmed its plans to unveil a second livery – its CEO Tony Douglas (formerly the chief of Etihad Airways) will be in attendance. “Riyadh Air needs to finalize their order for a narrow-bodied fleet, and doing so in Dubai signifies their vision for much of their future connecting traffic,” said OAG’s John Grant.
Bloomberg reported that the new Saudi airline is close to finalizing an order for potentially 100 Boeing 737 MAXs, with an announcement expected at the Air Show.
The anticipated agreement includes a firm order for 50 737 MAXs and options for an additional 50.
Qatar Airways will return to the airshow, showcasing its A350-1000 and 787-9, but has not made any new commitments for aircraft orders.
WHAT TO EXPECT AIRSHOW ‘23
Anticipated to be the largest on record, this year’s Dubai Airshow is poised to surpass last year’s attendance of 104,000 visitors. From November 13-17 at Dubai World Central, over 1,400 exhibitors from 95 countries in aerospace, space, and defense will converge.
Among them are 400 first-time exhibitors and over 80 startups spanning commercial aviation, advanced aerial mobility, space, defense and military, business aviation, and air traffic management. Notably, an expanded space pavilion in collaboration with the UAE Space Agency will be a highlight of the event.
Supply chain concerns
As a mitigation measure, airlines might opt for smaller orders and focus on manufacturers who have shown better resilience in handling supply chain issues. “They might also explore different financing options or leasing arrangements to manage capital expenditure,” added Bauer.
Plane manufacturer Boeing has said it is ‘working intensely on meeting quality’ to iron out issues related to the 737s. Boeing’s Randy Heisey said, “We’ve worked throughout our supply chain, putting some senior executives embedded with some of our suppliers, and focused extensively within our own four walls on ensuring that we meet our customers’ expectations.”
However, Grant said, ‘While the issue of aircraft deliveries and supplies persists, airlines operate with long-term planning in mind, looking several years ahead rather than just focusing on 2025. Joining the order queue is inevitable, and spaces can unexpectedly open up in those order books, as seen in past experiences. The Middle East remains one of the fastest-growing aviation markets, especially with the ongoing Saudi Vision 2030 project.”
Biggest aircraft deals of 2023*
- IndiGo: 500 Airbus planes for $50 billion
- Air India: 470 planes from Airbus and Boeing for $70 billion
- Riyadh Air and Saudia: 121 Boeing jetliners (78 confirmed + 48 on option) for $37 billion
- Southwest Airlines: 108 Boeing planes
- United Airlines: 110 planes from Boeing and Airbus for $22.4 billion
- Air Canada: Firm order for 18 Boeing Dreamliners
- Air France-KLM: 50 Airbus A350s for $16 billion
*At list prices
Narrow-body is top choice
“In total, 1,941 aircraft orders have been placed with orders for single-aisle aircraft continuing to dominate market demand with 1,584 ordered compared to 357 wide-body orders year to date,” said the report. The orders for wide-body aircraft might be more gradual, reflecting the slower recovery in international long-haul travel.
Sustainable fuel
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