By Ben Blanchard
Taoyuan, Taiwan (Reuters) -China Airlines by Taiwan postpones the retirement of some of its older aircraft due to delay in receiving Boeing 787-9 Jets, which can lead to compensation payments from the plan, said the newly appointed carrier chairman.
The oldest airline in Taiwan, created in 1959, is in the midst of a fleet renewal, last year he divided an order for new long distance aircraft worth nearly $ 12 billion at a list prices between Boeing and European competitor Airbus.
China Airlines also ordered 24 Boeing 787s for regional and some longer distances, including 18 787-9s and six of the stretched 787-10 variant.
But President George Kao said the China Airlines Fleet Renewal plan for replacing the aging of the Airbus A330s and Boeing 737-800S with 787-9s and A321neos was affected by a delay in the delivery of new aircraft, especially 787-9s.
“We are currently heavily affected. Some aircraft that had to be removed or handed back to the end of their lease, as some are leased, will remain and extend their leasing contracts,” he told Reuters in an interview with the Tauan Airline Power Headquarters, home to the main international airport.
Boeing did not give the exact period of China Airlines for 787-9 delays, although he stated that deliveries would start “from the end of 2025, added Kao, a training pilot that began as a flight attendant and chaired in March.
“This is recorded in the contract,” he said when he asked him if China Airlines would seek compensation.
“For example, if it is in the supply chain, it is the responsibility of Boeing and Boeing must provide some compensation. But if it is not, then there is no compensation. Everything is recorded in the contract.”
Boeing did not answer a request for comment.
Other airlines face similar problems.
The Director -General of the International Air Transport Association (IATA) Willie Walsh, whose group represents airlines worldwide, is called forecasts for delaying aircraft delivery this month during this decade “without diagram unacceptable”.
However, Kao was optimistic about expanding plans, pointing to the more efficient fuel 777-9 and A350-1000, ordered last year, which would allow more capacity to routes such as New York and London and a new third Tyuan airport terminal, which is expected to open later this year.
He signals further additions to aircraft in front of Mandarin Airlines subsidiaries, which fly almost extremely internal ATR-72 turbocharged routes and receives renewal to focus on regional routes from South and Central Taiwan with new aircraft.