So I was sifting through the comments section on my Facebook page about Cebu Pacific’s blockbuster aircraft order and noticed some questions: “Why so many planes?” “Where will they park those planes?” “Will they be flying to the United States?” It’s time to clarify why Cebu Pacific ordered 152 Airbus jets.
Just yesterday, July 2, Cebu Pacific signed a Memorandum of Understanding with Airbus for the purchase of 102 A321neo aircraft and options for 50 more, bringing the total order to 152 planes. The order is worth USD $24 billion (PHP 1.4 trillion) based on list prices, making it the largest aircraft order in Philippine aviation history.
But some may wonder why Cebu Pacific ordered so many aircraft when our airports are already overly congested. First and foremost, all 152 planes will not be delivered within a span of one year or even the next two years. This order is part of Cebu Pacific’s long-term expansion plans, which is advantageous to them currently.
Replacement and Expansion
The huge order is not purely for additional aircraft but will serve both fleet expansion and replacement of old aircraft. Cebu Pacific aims to become an all-Airbus NEO operator by 2028. Hopefully, the Pratt & Whitney GTF (Geared Turbofan) issues will be resolved by then.
Currently, Cebu Pacific operates a fleet of 19 A320ceo and 7 A321ceo, which the airline plans to replace once the grounded NEOs, as a result of the PW GTF issues, begin flying again. In fact, in 2023, Cebu Pacific had to lease more A320ceos to cushion the blow of the groundings. Should things be okay by 2028, Cebu Pacific hopes to replace these planes by then.
Also, prior to the massive order, Cebu Pacific was awaiting delivery of 8 more A330-900neo, 10 A321neo, 10 A321XLR, and 4 A320neo. Hence, the massive order will serve as both expansion and aircraft replacement.
In Anticipation of More Travel
Cebu Pacific anticipates economic growth in the coming years, forecasting higher travel demand in the next 10 years. They need a large number of planes to serve this higher travel demand domestically and regionally. This is not only for those traveling to and from Manila but also from Cebu and Clark.
With the ongoing construction of the New Manila International Airport in Bulacan, Cebu Pacific is taking advantage of the increased capacity of Manila. The new airport, when fully built, will have a capacity of 200 million passengers per year, which is six times larger than the current congested Ninoy Aquino International Airport (NAIA) in Manila.
With enough aircraft, Cebu Pacific will have the advantage of having more planes on standby in case one aircraft has to be pulled out for technical issues. To avoid the possibility of canceled flights due to a lack of aircraft as a result of one going on technical, Cebu Pacific will have the advantage of more replacement aircraft on standby.
So, Cebu Pacific ordered 152 planes for its long-term fleet plans, perhaps until 2035. The delivery schedule of the planes has not yet been confirmed as Cebu Pacific and Airbus will still finalize the order, hopefully at the Farnborough Air Show this July. Why did Cebu Pacific also order planes this early and in such a large number? Aside from discounts, it’s about securing timely delivery slots. Seeing the massive orders of other airlines like IndiGo, it’s best to secure timely delivery slots to keep their fleet young. A younger fleet entails lower maintenance costs too.
Where Will Cebu Pacific Park All These Planes?
By 2028 onwards, the NMIA might be operating. Additionally, Cebu Pacific will be increasing the capacity of its other hubs like Cebu and Clark, so planes will also be assigned to those hubs.
Cebu Pacific’s order is very strategic, and I must say, it’s a well-oiled strategy. Their direction is clear, and you can see the airline’s goals both long-term and short-term. They are doing their best to elevate customer experience, improve on-time performance, and continue to serve the growing demand for air travel in the Philippines. All of this supports the tourism industry of the Philippines, increases local and foreign tourism, and supports more trade within the country.
First love never dies. I fell in love with airplanes and aviation when I was a kid. My dream was to become a pilot, but destiny led me to another path: to be an aviation digital media content creator and a small business owner. My passion for aviation inspires me to bring you quality content through my website and social accounts. Aviation is indeed in my blood and blog!
