The International Air Transport Association (IATA) estimates that global airlines lost an estimated $11 billion in 2025.
IATA attributed this to the continuous disruptions in the aviation supply chain, which delay aircraft deliveries, increase maintenance expenses and drive up operating costs.

The association also stated that the aerospace industry was currently grappling with a massive backlog of more than 18,000 commercial aircraft orders, while airlines worldwide are also facing shortages of engines, spare parts and maintenance capacity.

A statement by IATA yesterday said that its Director General, Willie Walsh, made the disclosures at the inaugural IATA World Maintenance and Engineering Symposium in Madrid, Spain.

Walsh, in his speech at the symposium, said supply chain failures had become one of the most pressing challenges confronting the global aviation industry.

According to him, airlines are operating with ageing fleets as manufacturers struggle to deliver aircraft on schedule.

He said: “The aircraft order backlog is over 18,000. And the average fleet age has reached a record 15.2 years. Moreover, being short over 5,000 more fuel-efficient replacement aircraft that airlines had counted on means missed efficiency gains, not to mention higher lease rates and increased maintenance costs.

“In total, supply chain failures cost airlines at least $11 billion in 2025. Today’s higher fuel prices will only make that worse.”

Also, IATA’s Director of Flight and Technical Operations, Stuart Fox, said the challenges extended beyond delayed aircraft deliveries to include engine durability issues, shortages of materials and spare parts, as well as limited maintenance, repair and overhaul (MRO) capacity.

To address the growing crisis, Fox outlined four priority measures aimed at strengthening the global aviation supply chain.

The IATA director suggested enhancing supply chain visibility, urging aircraft and component manufacturers to provide airlines with earlier and more reliable information regarding delivery schedules, repair turnaround times, parts availability and potential bottlenecks.

He said this would enable airlines to plan their operations more effectively and minimise disruptions across their networks.

Fox also proposed priority centres on opening up the aftermarket by encouraging greater competition in maintenance services and spare parts supply.

The association called on manufacturers to embrace principles contained in the IATA-CFM agreement, which supports access to third-party maintenance providers, alternative parts and approved repair options.

Fox posited that commercial restrictions on repair manuals, tooling, approved repair networks and spare parts distribution often limit airlines’ ability to utilise safe and certified alternatives, leading to higher costs and longer waiting periods.

He also emphasised the need for greater use of data, digitalisation and Artificial Intelligence (AI) to improve inventory management and maintenance planning.

He explained that stronger integration between airline maintenance systems and market intelligence platforms would help operators identify parts shortages, improve repair decisions and streamline warranty claims.

He further suggested the expansion of the aviation maintenance workforce, citing projections from aircraft manufacturer Boeing, which said the industry would require approximately 710,000 new maintenance technicians over the next two decades to meet growing demand.

He urged governments, regulators and industry stakeholders to review recruitment, training and licensing frameworks to reduce barriers to entry and improve workforce mobility across borders.

Besides, IATA appealed to regulators to adopt realistic and globally coordinated timelines for aircraft equipment and avionics upgrade mandates.

“This is not about delaying safety. It is about making safety deliverable. Global safety improvements require globally coordinated implementation timelines that reflect certification, equipment availability, and installation capacity,” said Fox.

Just last week in Lagos, Executive Sales Director for Africa, Boeing, Moore Ibekwe Jr., said that Africa would require approximately 12,000 aircraft in the coming years to meet growing demand, making affordable financing indispensable for sustainable growth.