**Airbus Faces Delivery Challenges Amid Engine Shortages**
Airbus SE reported a significant decline in aircraft deliveries last month, with approximately 63 planes handed over to customers—an 18% decrease compared to the same period last year. This drop is primarily attributed to a shortage of engines for the popular A320neo model, which has hindered the company’s ability to meet delivery targets, according to sources familiar with the situation.
In the first seven months of 2025, Airbus has delivered around 370 aircraft, falling short of its annual goal of approximately 820 handovers. The preliminary figures for July may be subject to slight adjustments, as noted by the sources who requested anonymity due to the confidential nature of the information. An Airbus spokesperson refrained from commenting on the July delivery numbers ahead of the official release scheduled for next week.
Deliveries are a critical focus for investors, as this is when airlines typically make substantial payments for their aircraft orders. CEO Guillaume Faury emphasized that while the company maintains its full-year guidance, ongoing supply chain issues are likely to push the majority of deliveries into the latter half of the year. In July of the previous year, Airbus delivered 77 jets, bringing the total for the first seven months to 400.
As of the end of June, Airbus had 60 “gliders”—newly constructed aircraft awaiting engines—on the ground, a situation the company aims to resolve by year-end, as discussed during a recent earnings call.
In contrast, Boeing Co. has been increasing production of its competing 737 Max jet, narrowing the gap with Airbus. At the mid-year mark, Boeing reported 280 deliveries, closely trailing Airbus’s 306. The U.S. manufacturer is working to stabilize its production rates and has benefited from a surplus of inventory due to a strike in late 2024 and a previous decision to slow production to address quality issues.
In summary, while Airbus continues to face challenges with aircraft deliveries due to engine shortages, it remains committed to its annual targets, with hopes of overcoming supply chain hurdles in the coming months.
**FAQ**
**What is causing the decline in Airbus aircraft deliveries?**
The decline in Airbus aircraft deliveries is primarily due to a shortage of engines for the A320neo model, which has affected the company’s ability to hand over planes to customers.