Ethiopian Airlines’ CEO believes the carrier’s long-term growth ambitions will take a hit because of the recent seven-week 
Boeing
machinist strike. Production of the 737 MAX and 777 was abruptly stopped during the strike, two aircraft types the African carrier has on order with Boeing.
Ethiopian Airlines expecting Boeing delivery setbacks
Ethiopian’s CEO Mesfin Tasew told AFP that Boeing’s latest woes will impact the carrier’s long-term growth objectives. Expected deliveries of 737 MAX and 777F aircraft earlier this year have been set back, and Tasew believes the strike will exacerbate delays, saying,
“Delivery dates of the airplanes that we have ordered from Boeing are still sleeping.”
While Boeing managed to end the costly seven-week strike, it won’t be that easy to simply restart plane production in just a few days. The manufacturer has stated that it would take several weeks before it can fully restore production capacity, leaving Ethiopian facing further delays to deliveries.
The airline is also a customer for the Boeing 787 Dreamliner and the upcoming Boeing 777X, placing an order for eight airframes plus twelve options in March, and had hoped to expand its freight capacity with the addition of more 777Fs. Due to the delays, Ethiopian Airlines
has been forced to lease MAX aircraft to ensure enough capacity for its near-term schedule, including four airframes due to start arriving this month.
Despite ongoing setbacks and the fractious history between the two, Ethiopian has demonstrated full confidence in Boeing, significantly expanding its orderbook with the planemaker at the Dubai Air Show in November 2023. The order included 20 737 MAX 8s and 11 787-9s, and options for 21 and 15 aircraft, respectively.
Photo: Wirestock Creators I Shutterstock
Tasew said the crash remains a “serious scar” in the airline’s history, but affirmed that it still had “confidence in Boeing that it is a great aerospace company.” Since resuming 737 MAX flights in February 2022 for the first time since the tragic Flight 302 crash in March 2019, Ethiopian has expanded to a fleet of 17 737 MAX 8s.
End-of-year targets still on track
While its fleet has not grown as anticipated, Ethiopian’s CEO says the airline is still on track to meet its yearly targets. This is quite the accomplishment given the carrier has also faced operational difficulties due to conflicts in Israel, the Middle East and Sudan. Ethiopian is the only profitable airline in Africa and recorded over $7 billion in revenue for FY2024, a 14% increase year-on-year – its network has also expanded significantly, with the carrier serving over 20 domestic routes and 140 international destinations.
Photo: Ethiopian Airlines
Tasew pointed to the performance of Boeing’s rival Airbus, which has so far remained punctual with its deliveries to the African carrier. Airbus plans to deliver four A350-1000s to Ethiopian by March 2025, with the airline celebrating the first arrival in early November. While a seasoned operator of the A350-900, this was Ethiopian’s first A350-1000 and also the first to be operated by an African carrier.
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