Turkish Airlines says engine issues delaying Boeing order

Reuters/John Sibley

Turkish Airlines is in talks with US planemaker Boeing for a potential order of 225 jets, but any deal rests on engine pricing negotiations, chairman Ahmet Bolat has said.

The potential order is for 150 737 Max narrowbody jets and 75 wide-body 787s, Reuters reported, quoting Bolat at the International Air Transport Association’s annual meeting in Dubai.

“We could have announced the Boeing order earlier, but there is an engine issue,” he said, adding a decision on CFM’s Leap engine prices may take a “little longer”.

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Bolat said they are waiting to hear on the counter-offer given to CFM International, a French-American joint venture.

In February the US Federal Aviation Administration said Boeing must make “profound improvements” and address quality issues after a panel blew out of a 737 Max 9 aircraft. The issue was believed to have been caused by missing bolts.

A previous crisis over two fatal crashes resulted in the jet maker’s Max being grounded in 2019 for 20 months.

• Turkish Airlines revenue rises 10% to nearly $5bn
• Turkish Airlines to have ‘third largest fleet’ by 2033
• Turkish Airlines places order for 220 Airbus aircraft

Last December the Turkish carrier announced its fleet expansion by purchasing more than 200 Airbus aircraft.

In April Bloomberg reported that Turkish Airlines was expected to sign an agreement with UK’s Rolls-Royce Holdings Plc and European planemaker Airbus to manufacture $20 billion worth of aircraft components locally.

The airline CEO Bilal Ekşi annouced in December 2023 plans to increase its fleet size to 813 aircraft by 2033 as part of its expansion drive to build a mega network connecting Europe to Asia and Africa.

Revenue rose 10 percent year on year in the first quarter of 2024 to $4.8 billion, driven by growing passenger numbers. However, net profit slipped 3 percent to $226 million in the first quarter, compared to $233 million a year earlier.