International Air Transport Association (IATA) Director General Willie Walsh has provided a sobering outlook on global supply chain issues affecting the delivery of new aircraft. Speaking at the IATA annual meeting in Dubai on June 2, 2024, Walsh warned that these challenges will likely persist for another two years.
Walsh highlighted the enduring challenges that the aviation sector faces. “Our assessment is that it’s not getting worse, but it’s not getting better either. I see these problems continuing certainly through this year, 2025, and probably into 2026,” he said.
These prolonged disruptions have caused significant frustration among airline executives, eager to expand their fleets and align with their growth plans. Delays in receiving new aircraft have hampered their ability to meet rising demand and capitalize on new market opportunities, leading to mounting pressure to find solutions and mitigate the impact on their operations and profitability. Walsh explained, “Some airline chief executives are incredibly frustrated at their inability to get the jets they’ve ordered into service, and that is delaying growth plans and growth opportunities that they have.”
Commitment to Sustainability
Despite these challenges, airlines remain committed to environmental sustainability. IATA reports that efforts to reduce carbon emissions and implement sustainable practices continue, even amid the supply chain issues. The association emphasized that the projected tripling of Sustainable Aviation Fuels (SAF) production to 1.9 billion liters (1.5 million tons) in 2024 is progressing as planned. This increase will account for 0.53% of aviation’s fuel needs in 2024, representing a key step towards the industry’s sustainability goals.
To further support the sustainability initiative, IATA has announced the creation of the SAF Registry. This tool aims to accelerate SAF adoption by providing authoritative accounting and reporting of emissions reductions from SAF. Designed to ensure transparency and credibility in tracking SAF usage and its environmental benefits, the Registry has received significant support from various aviation stakeholders.
Currently, 17 airlines, one airline group, six national authorities, three Original Equipment Manufacturers (OEMs), and one fuel producer back IATA’s initiative. The SAF Registry is expected to launch in the first quarter of 2025.
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