Airbus Slows A320 Production Ramp-Up Amid P&W Engine Shortage

Airbus has revised its production targets for the A320 family, citing an ongoing and significant shortage of engines from supplier Pratt & Whitney (P&W). The European planemaker is now tempering expectations for its production ramp-up, a move that underscores the persistent fragility of the global aerospace supply chain. This latest disruption directly affects the company's ability to meet intense airline demand for its best-selling narrow-body aircraft.

According to its latest guidance, Airbus now targets a monthly production rate of 70 to 75 A320 family aircraft by the end of 2027. This is a subtle but significant revision from its previous goal of a stable rate of 75 aircraft per month in 2027. The slowdown is also reflected in the company's overall delivery forecast for 2026, which is set at approximately 870 total commercial aircraft. While this figure is an increase from the 793 aircraft delivered in 2025, it is constrained by the engine availability issues.

The A320 family, which includes the popular A320neo (New Engine Option), is the cornerstone of Airbus's commercial aircraft business, accounting for nearly 80% of all deliveries in 2025 with 607 units delivered. The inability to secure a sufficient supply of engines directly throttles the manufacturer's primary revenue stream and delays deliveries for airlines worldwide.

Root of the Engine Issue

The core of the problem lies with the Pratt & Whitney PW1100G-JM engine, part of the Geared Turbofan (GTF) family, which powers a significant portion of the A320neo fleet. A manufacturing defect related to contaminated powdered metal used in high-pressure turbine disks has affected a large batch of engines built between 2015 and 2021. This issue, announced by P&W's parent company RTX Corporation, has necessitated widespread and time-consuming inspections and repairs across the global in-service fleet.

This has placed immense pressure on P&W, a subsidiary of RTX, to balance two critical demands: producing new engines for the Airbus assembly line and providing parts and MRO (Maintenance, Repair, and Overhaul) support for the hundreds of existing aircraft requiring engine inspections. The consequence has been a large number of Aircraft on Ground (AOG) situations for carriers, leading to flight cancellations and reduced operational capacity. Airlines such as IndiGo and Turkish Airlines have publicly reported grounding dozens of A320neo aircraft.

Airbus CEO Guillaume Faury expressed direct frustration with the situation. "Pratt & Whitney's failure to commit to the number of engines ordered by Airbus is negatively impacting this year's guidance and the ramp-up trajectory," Faury stated. "In 2026, we see shortages of engines from Pratt & Whitney, not matching our needs nor our orders that will limit our aircraft deliveries, and this is really disappointing." He added that Airbus would have to "bite the bullet" in 2026 to manage the "very painful and unsatisfactory situation."

Regulatory and Industry Context

The engine issues have also attracted regulatory scrutiny. In January 2026, the Federal Aviation Administration (FAA) issued an Airworthiness Directive requiring modifications on 586 PW1100G engines on US-registered aircraft to prevent potential fuel leaks following fan-blade fractures. This adds another layer of complexity to the maintenance backlog.

More broadly, the P&W engine shortage is a symptom of persistent post-pandemic supply chain disruptions that have plagued both Airbus and Boeing. Airbus has been forced to adjust its delivery goals multiple times in recent years, citing difficulties in sourcing not only engines but also cabin equipment and seats. The current situation highlights the vulnerability of an industry reliant on a small number of key suppliers for critical components like engines. Airbus is now reportedly enforcing its contractual rights against Pratt & Whitney to secure the engines it has ordered.

Why This Matters

This production slowdown has significant ripple effects across the commercial aviation market. For airlines, it means further delays in receiving new, more fuel-efficient aircraft, complicating fleet renewal plans and potentially forcing them to extend leases on older, less efficient jets. The reduced delivery slate also tightens the already constrained global supply of narrow-body aircraft, which could support higher lease rates and aircraft values. Ultimately, the situation demonstrates that even as demand for air travel has recovered, the industrial capacity to meet that demand remains under severe and prolonged stress.

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