Airbus Hit By Fresh A320 Quality Snag Just As Year-End Delivery Race Heats Up

Reuters, CNBC, Investor’s Business Insider, and the Financial Times contributed to this report.

Airbus is back in the spotlight for the wrong reasons.

The European planemaker has confirmed a new industrial quality problem affecting metal fuselage panels on a “limited number” of A320-family jets, just days after airlines were forced to ground thousands of the same aircraft for an urgent software fix.

Investors didn’t like what they heard. Airbus shares dropped as much as 10% on Monday before trimming losses, as markets weighed yet another headache for the company’s most important jet line.

Airbus says the latest issue involves metal panels on the fuselage of some A320-family aircraft. The company isn’t naming the supplier, but it’s calling it a supplier quality issue, not a fundamental design flaw.

In a statement, Airbus said:

• All potentially affected aircraft are being inspected;
• Only a portion will need further work;
• The source of the problem has been “identified and contained”;
• All newly produced panels now meet requirements.

So far, there’s no indication the flaw has affected aircraft already flying passengers, but the checks are delaying some deliveries, according to industry sources.

Airline stocks like Lufthansa and easyJet also dipped on the news, as investors worried about possible delays to their incoming jets.

This quality issue lands right on top of another big A320 headache.

Over the weekend, Airbus ordered immediate software updates on roughly 6,000 A320-family jets after a glitch linked to solar radiation was found to be corrupting data critical to flight control systems.

The fix forced airlines around the world to temporarily ground parts of their A320 fleets — right in the middle of one of the busiest travel weekends of the year.

By Monday, Airbus said:

• The vast majority of affected jets had already been updated;
• Fewer than 100 aircraft were still waiting for modifications;
• The company apologized to airlines and passengers for the disruption.

Suppliers felt the blow too: French aerospace and defense firm Thales, which provides flight system software, also saw its shares slip.

All of this is happening while Airbus is trying to pull off a huge year-end delivery push.

Industry sources say Airbus:

• Delivered 72 jets in November, bringing year-to-date deliveries to 657;
• Still aims for around 820 deliveries in 2025.

Do the math: that means Airbus would need to hand over more than 160 jets in December — a number that would smash its previous year-end record of 138 deliveries in December 2019.

Given ongoing:

• Supply chain snags;
• Engine availability issues;
• The new fuselage panel checks;
• And the weekend software recall.

…analysts are split on whether Airbus can actually hit that target.

Some, like Jefferies’ Chloe Lemarie, still see the goal as just about within reach because underlying production has been ramping up. Others think Airbus might land closer to 800 jets, which could allow the company to claim it came “around” its guidance but still miss the headline figure.

The timing is awkward for Airbus.

The company has spent the past few years building a clear lead over Boeing, which has been bogged down by its own production and safety issues on the 737 MAX. Airbus’s A320 family is the world’s best-selling single-aisle aircraft and the backbone of many airlines’ short- and medium-haul networks.

But with:

• A giant software directive;
• A fresh fuselage quality scare;
• A punishing year-end delivery schedule.

…Airbus is now getting a taste of the same scrutiny Boeing has faced, as investors and airlines watch closely for any sign that quality or reliability is slipping.

For now, Airbus insists the latest panel issue is contained and manageable. The question is whether that reassurance — and a massive December sprint — will be enough to calm nervous investors and keep its delivery promise.