Global airlines are projected to face losses exceeding $11 billion in 2025 due to supply chain disruptions affecting aircraft deliveries and fleet operations. A report by IATA and Oliver Wyman highlights labor and material shortages, forcing airlines to rely on older, less fuel-efficient planes, leading to increased operational costs. Delays in engine repairs and rising lease rates contribute to excess costs, while airlines stockpile parts, further straining finances. The shift in the aerospace business model, favoring aftermarket profits for OEMs, adds to the challenges, exacerbated by geopolitical instability and skilled labor shortages in the industry.

Source: https://www.stattimes.com/latest-news/global-airlines-face-1l-billion-supply-chain-hit-in-2025-iata-1356826