Turkish Airlines' Strategic Dance Between Boeing and Airbus

Turkish Airlines considers shifting its order from Boeing 737 MAX to Airbus due to stalled talks with engine supplier CFM over costs. The airline plans fleet expansion amidst industry-wide engine shortages and delays. It remains open to Boeing's 777X orders despite ongoing setbacks.

Turkish Airlines, the flag carrier of Turkey, may shift a recent order for Boeing 737 MAX jets to Airbus if discussions with engine supplier CFM do not progress, Ahmet Bolat, the airline's Chair, indicated.

This decision follows a tentative order for 150 MAX planes, announced around the time of a meeting between Turkish President Tayyip Erdogan and U.S. President Donald Trump. The deal with Boeing is contingent upon a separate agreement with CFM International, a joint venture between GE Aerospace and Safran, which is the sole engine supplier for the Boeing 737 MAX and competes with Pratt & Whitney for contracts on the Airbus A320neo family.

Bolat expressed frustrations over cost disagreements in negotiations with CFM, suggesting if feasible terms were not reached, the airline might opt for Airbus, which offers multiple engine supplier options. The move is part of a larger fleet expansion plan aiming for 800 aircraft by 2033. Despite some progress in negotiations, tensions persist due to industry-wide engine shortages and maintenance delays.

(With inputs from agencies.)