Airbus CCO Lars Wagner Reveals "Lot of Issues" Slowing Aircraft Production

The new head of Airbus's commercial aircraft business, Lars Wagner, has publicly acknowledged significant aircraft production challenges.

Speaking at the Airline Economics Conference in Dublin in January 2026, the Chief Commercial Officer (CCO) stated that the "whole ecosystem is under pressure." This frank assessment comes as the industry demands more aircraft. Mr. Wagner, who took over on January 1, 2026, noted that the company faces "a lot of issues" in managing the aggressive Airbus production ramp-up plan. This candor sets a realistic tone for the manufacturer's near-term outlook.

The Core Production Challenges

The most critical issue highlighted by the new CCO is engine durability. Mr. Wagner, formerly the head of German engine maker MTU Aero Engines, stressed the need to address this first. The problem is largely tied to the Pratt & Whitney geared turbofan (GTF) engines. These power the popular A320neo family and the A220 aircraft.

• A major defect was found in the powdered metal of high-pressure turbine discs.
• This manufacturing flaw causes significant A320neo engine durability issues for operators.
• Airlines like IndiGo and Wizz Air have faced operational disruptions.
• These disruptions are expected to continue throughout 2026.

Mr. Wagner suggested that engine makers must balance fuel savings with the long-term durability of the components. He stated, "I think we need to solve the durability question first".

Broader Supply Chain Pressure

Beyond engines, the supply chain pressure remains a constant threat to delivery schedules. In late 2025, Airbus had to lower its delivery target. This was due to a quality issue with A320 Family fuselage panels from a supplier. The manufacturer delivered 793 commercial aircraft in 2025. This figure was below the initial goal of 820 units. The repeated target revisions signal execution risk for the manufacturer's strategy.

Focus on Widebody Production Rates

Despite the challenges in the narrowbody sector, the new CCO signaled a strong focus on increasing Airbus widebody production. Mr. Wagner is aiming for significantly higher production rates for the Airbus A350 jet. He believes the current planned rate is "by far not enough" given the market's momentum.

Industry forecasts support this push. The market for widebody aircraft shows strong momentum. Airbus's widebody backlog stood at 1,124 aircraft at the end of 2025. The company is also slowly boosting output of its large jets, including the A330.

Impact on Airlines and the Industry

The continued aircraft production challenges directly affect airline operations and planning. Delays in new aircraft deliveries force carriers to keep older, less fuel-efficient planes flying longer. This impacts operational costs and fleet modernization plans. Lessors, such as Air Lease Corp (AL), have voiced their frustration over the difficulties in getting aircraft delivered.

Furthermore, the engine durability issues create significant maintenance bottlenecks. This forces airlines to ground aircraft for longer periods, reducing available capacity. The entire aerospace supply chain pressure is now a key factor in global airline network planning.

• Risk: Continued delays could strain customer relationships and financial targets.
• Opportunity: The focus on widebodies could allow Airbus to capture more market share from its competitor Boeing in this segment.

Airbus CEO Guillaume Faury also noted the tough operating backdrop in an internal memo. He cited "unprecedented number of crises" and geopolitical developments as causes of operational damage. This underscores the complexity of managing a global manufacturing operation in 2026.

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