Aircraft deliveries fell in the first quarter as the industry continued to be hobbled by supply chain disruption and regulatory issues, in part due to Boeing and Airbus woes.
Some 312 commercial aircraft were delivered between January and April, 7.4 per cent lower year-on-year, according to the aerospace trade body ADS Group. At the same time, the number of orders for new aircraft rose 64 per cent to 64, up from 38 a year earlier.
The latest figures also reveal a 17.6 per cent increase in the commercial aircraft order backlog, from 13,401 to 15,753. ADS estimates the backlog is the equivalent of a decades worth of work and at least £250bn in value for the UK.
“The increasing divergence between the rate of aircraft deliveries and the number on backlog order makes clear that this growing, prosperous sector is being held back from its full economic potential,” Aimie Stone, chief economist at ADS Group, said.
“The supply chain in the aerospace sector is long and complex, and any production or regulatory issues can cause significant delays in aircraft production, slowing delivery rates.”
Both Boeing and Airbus, the two major plane-makers, have faced significant supply chain disruption over the last year at a time when travel demand is booming. The issues have been made worse by a dearth in skilled workers after thousands left the industry during the pandemic.
Boeing itself is also facing major turbulence after the side of an Alaska Airlines 737 Max-9 aircraft blew out mid-flight in January.
It is currently under investigation from the US Department of Justice and the Federal Aviation Administration, while a string of whistleblowers have emerged to highlight production issues in the supply chain.
Kevin Craven, Chief Executive of ADS, said: “We are continuing to work with our members over production concerns.
“In a sector that creates £10.9bn of value and over 100,000 jobs for the UK economy it is important that supply chain challenges are resolved and that the significant skills shortages, access to investment and regulatory issues that continue to hold back our potential rate of productivity and growth are addressed.
“The next government must create a comprehensive industrial strategy in collaboration with an industrial council formed of business representatives to combat issues like those faced by the aerospace sector.
“This will ensure the UK’s industrial base can continue to fuel economic growth and create employment for the long term.”