Cebu Pacific takes delivery of first China-assembled Airbus

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Cebu Pacific takes delivery of first China-assembled Airbus plane
Cebu Pacific took delivery on Thursday, June 29, of its first A320neo aircraft from Airbus’ final assembly line in Tianjin, China. Photo from Xinhua.
  • Cebu Pacific took delivery of its first China-assembled Airbus A320neo on June 29
  • Cebu Pacific CEO Michael Szucs says the airline plans to take delivery of three more aircraft from Airbus’ Tianjin factory
  • The airline is accepting a total of 15 aircraft delivery for 2023
  • It has ordered 10 brand new Airbus NEO aircraft in 2023 to support its objective to transition to a more fuel-efficient, all-NEO fleet by 2028
  • On top of this, the airline is also receiving five additional aircraft via long-term lease
  • The airline is boosting its fleet as it faces a possible franchise suspension after flight disruptions that sparked passenger ire and led to the filing of a House bill calling for punitive action

Cebu Pacific took delivery of its first China-assembled Airbus A320neo on June 29 even as it navigates a cloud of passenger complaints that has led to a congressional call to suspend its franchise.

Cebu Pacific received the new aircraft in a turnover ceremony at Airbus’ factory in Tianjin, northeastern China. The eighth aircraft for delivery this year, it was scheduled to fly to Manila on June 30.

The delivery flight will be fueled by a 41% blend of sustainable aviation fuel (SAF) – the highest proportion ever to be used by all deliveries of Cebu Pacific planes.

“We are thrilled to welcome this delivery, which is a major milestone for both Airbus and Cebu Pacific. This is in line with our fleet plan which aims to support our overall growth ambitions as travel demand continues to recover,” Cebu Pacific chief executive officer Michael Szucs said in a statement.

Szucs said the Gokongwei-owned airline plans to accept deliveries of three more aircraft from the European aerospace firm’s Tianjin factory.

“It makes sense from an economic perspective for us to accept the delivery of aircraft from a place that is close to our home. The flying distance between Manila and Tianjin is shorter compared with the distance between Manila and Toulouse, France,” Szucs said, referring to Airbus’ home base.

He said the carrier is considering placing orders for more aircraft from Airbus China in the future to increase its passenger capacity as demand for domestic and international air travel grows following the post-Covid-19 reopening of borders.

“Next, Cebu Pacific will operate the aircraft across our extensive domestic and regional networks, and most of such flights are expected to be short-haul lasting about one hour to an hour-and-a-half,” said Szucs.

The new jet will join the airline’s 62-unit fleet. “This gives us additional reliability,” he said.

The airline is accepting a total of 15 aircraft delivery for 2023. It has ordered 10 brand new Airbus NEO aircraft in 2023 to support its objective to transition to a more fuel-efficient, all-NEO fleet by 2028. On top of this, the airline is also receiving five additional aircraft via long-term lease.

On the sidelines of the event, Szucs told reporters the airline has nine aircraft grounded for maintenance at the moment. He said the grounding was one the reasons Cebu Pacific was plagued by flight suspensions recently.

On June 26, Cagayan de Oro 2nd district Rep. Rufus Rodriguez filed House Resolution No. 1101 calling for the suspension of Cebu Pacific’s franchise granted under Republic Act No. 7151 for “unsatisfactory service to the public.”

RELATED READ: Lawmaker seeks suspension of Cebu Pacific franchise

During a Senate Committee on Tourism hearing on June 21, Cebu Pacific president and chief commercial officer Alexander Lao apologized to passengers for the disruptions and assured them of the carrier’s resolve to address these challenges.

The airline said that four of the nine planes were grounded due to US-based engine manufacturer Pratt & Whitney’s failure to provide required aircraft maintenance immediately due to supply chain issues.

Cebu Pacific said more than 160 Airbus planes are grounded globally, including those of Philippine Airlines, due to the massive logistics problem. The other five aircraft are undergoing regular maintenance that is also taking longer due to material supply disruptions.

The carrier said it suffered losses during the Covid-19 pandemic but turned around in the first quarter, although its profitability was still lower than pre-Covid levels.

Ever since China optimized its COVID-19 response measures and resumed quarantine-free international travel in January, international carriers have ramped up efforts to resume more flights or increase the frequency of flights on certain routes that connect China with overseas destinations.

The International Air Transport Association reported recently that people’s confidence in travel are returning to high levels with advance bookings expected to register the highest growth in the Asia-Pacific, the Middle East and Europe.

An IATA survey on 4,700 travelers from 11 countries showed that 79% of the respondents were planning a trip during the June-August period this year.