General AviationCathay Pacific Plans to cut half Its Boeing 777X Order

Cathay Pacific Plans to cut half Its Boeing 777X Order

Cathay Pacific Airways which is based in Hong Kong plans to reduce its longstanding order of Boeing’s newest marquee aircraft, the 777X, as the long-lasting effects of the Covid-19 pandemic trigger a rethink on the top-of-the-range commercial jets.

Cathay Pacific Plans to cut half Its Boeing 777X Order

The airline have started to think on adjusting its order by cutting its previous order of 21 planes priced at approximately US$7.4 billion to between 10 and 15 according to Hong Kong media sources.

Cathay had stated in its 2020 Annual Results in March that it was in progressive negotiations with Boeing while already postponing aircraft deliveries from its competitor supplier Airbus. The move to reduce the current order would trim billions off the cost, but other source added the airline was considering other aircraft for its future needs.

Hong Kong’s flagship airline was expected to roll out the 777X on its key long-haul routes to destinations such as London and New York. That was planned before the pandemic break resulting to multiple setbacks to enlarge its business class seats and cabin. The carrier has suffered enormously during the pandemic, acquiring USD 278 million in losses last year and leaving a large number of its 239 aircraft grounded.

The advanced long-range aircraft, currently undergoing rigorous testing, has faced numerous obstacles and delays on the runway to production. In late January, Boeing said the first 777X aircraft delivery would take place in late 2023, since the aircraft had faced numerous obstacles and delays on its course of production. These planes were originally due to be ready for their first customers in the summer of 2020.

The combination of the pandemic-related reduction in appetite for new planes and financially-ruined airlines is pushing back monetary commitments to purchase of new planes. In February, Boeing saw its orders for the 777X dropped by more than a third to 191 from 309.  The 191 jets still on order will go to eight different customers, including Emirates, Qatar Airways and Lufthansa.

Cathay Pacific made an agreement last year with Airbus to spread out the delivery of its long-range A350 and short-haul plane A321neo aircrafts by 2023 and 2025 respectively. The spread out of A350 and A321neo plus cutting of 777X order size will provide some much-needed financial breathing space to the carrier.

Katatumba Tyson Tommy
Katatumba Tyson Tommy Is an Aerobatic Pilot. Currently Building An Electric Air Race Aircraft. Balloons, Skydiving & Aerobatics.. Big Chances Are In The Air. . Life On the Edge, Worth It Very Passionate about the aviation industry. Here to add a thing or more.
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