Ex-Qatar Airways CEO Warns of ‘Very Turbulent’ Years Ahead

Key Points

• Former Qatar Airways CEO Akbar Al Baker warns of turbulent years ahead for airlines due to geopolitical tensions, supply chain issues, and rising defense spending.
• Aircraft production delays and a record backlog threaten airlines’ ability to expand fleets, with suppliers prioritizing military needs.
• Al Baker predicts a potential recession in the industry, with rising costs and instability challenging carriers still recovering from the pandemic.

Summary

Akbar Al Baker, the former CEO of Qatar Airways, has cautioned that the global airline industry faces several turbulent years ahead due to escalating geopolitical tensions, ongoing trade conflicts, supply chain shortages, and increasing defense spending. Speaking at a recent industry summit, he highlighted how these factors are straining aircraft production and deliveries, contributing to a record backlog and making it harder for airlines to expand or update their fleets. Al Baker also warned that these combined pressures could lead to a broader recession in the sector, posing significant challenges for carriers still recovering from the pandemic’s financial impact.