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Taiwan airlines struggle with supply chain disruptions

Reporter Isabel Wang
Release time:2024/09/30 14:22
Last update time:2024/09/30 16:32
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TAIPEI (TVBS News) — Major airlines in Taiwan face significant challenges due to global supply chain disruptions. These issues have caused delays in aircraft deliveries, impacting the industry's recovery post-pandemic.

Tigerair Taiwan (虎航) Chairman Kevin Chen (陳漢銘) highlights the strain on human resources and raw material shortages, noting, “We’ve seen the global market obviously being impacted by labor and supply chain shortages.”

 

Chang Kuo-wei (張國煒), chairman of Starlux Airlines (星宇航空), said on Sept. 25 that the supply chain issues are severe, with A320 deliveries delayed by 8 to 12 months.

This challenge extends beyond Taiwanese airlines, affecting carriers worldwide. 

Chen remarks that delivery schedules are delayed by 6 to 9 months. "We can only continue monitoring the delivery schedule, and hope to minimize the impact as manpower stabilizes," he added.
 

Wang I-he (汪逸和), general manager of an aviation training institution, stresses the importance of new aircraft for airlines, saying, “In airline competition, it’s important to have new planes since travelers would compare them. They want to ride the newest model, so companies are constantly phasing out old planes.”

Meanwhile, Taoyuan International Airport (桃園機場) reported 3.94 million transit passengers in the first seven months of 2024, a 32.3% increase compared to the same period in 2019.

The majority of these passengers traveled on routes to North America and Southeast Asia, driven by dense North American networks and growing Southeast Asian supply chains.

Analyzing the growing need for connecting flights, Wang noted the trend of airlines extending lease agreements to maintain fleet size due to new route expansions.

Experts believe the ongoing Russia-Ukraine war, which affects raw material supplies like iron ore, will prolong these issues. The aviation industry must plan ahead to mitigate these challenges.
 

The Taiwan Briefing

#Taiwan airlines#global supply chain#aircraft deliveries#Tigerair Taiwan#Starlux Airlines#Taoyuan International Airport#aviation industry#delays in aircraft deliveries#impact of supply chain disruptions on airlines#new aircraft for airlines

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