The aviation industry’s supply chain challenges are no longer simply a short-term operational headache but a structural issue threatening growth, profitability and future maintenance capacity, according to industry leaders speaking this week at the IATA World Maintenance and Engineering Symposium (WMES) in Madrid.

During a panel discussion titled Navigating the turbulence: global supply chain challenges, representatives from airlines, lessors and IATA presented a unified message: while passenger demand continues to grow, the industry’s ability to support that growth is being constrained by aircraft shortages, engine supply issues and limited maintenance capacity.

Moderated by Iryna Khomenko, senior manager technical operations and supply chain at IATA, the session explored both the immediate operational pressures facing the sector and the longer-term changes required to build a more resilient supply chain.

For airlines and MRO providers, the most visible challenge remains the availability of aircraft, engines and replacement parts.

Enrique Robledo Martín, chief technical officer at Iberia, described aircraft availability as a daily operational concern.

“Lack of aircraft is a problem and engine supply chain is an issue,” he said, adding that Iberia’s maintenance operation also feels the impact through delays in receiving parts, driving turnaround times higher.

Those challenges extend beyond airline operations into the leasing market.

Chris Gruener, executive vice president and head of technical at BOC Aviation, explained that OEM production and maintenance delays create knock-on effects when aircraft are returned between operators.

“As a lessor we feel the delays in OEM issues too. When aircraft are off-lease, we suffer with shop delays, which can impact return to customers.”

Willie Walsh, director general of IATA, said the consequences are being felt across airline balance sheets, with aircraft backlogs and ongoing supply chain disruption directly affecting profitability.

Looking beyond today’s operational pressures, Walsh argued that the industry’s biggest concern is the continuing shortage of parts and maintenance capacity.

“The supply of parts available to the industry remains a major concern, and I think that’s what has frustrated us the most,” he said.

He noted that supply chain failures cost airlines around $11 billion in 2025, with the figure expected to rise further in 2026, while airlines continue to absorb higher fuel prices and maintenance costs.

Walsh also delivered a message suggesting that OEMs have been increasing profitability while airlines continue to bear the financial consequences of supply chain disruption.

“You could argue that the organisations which have created the problem are financially benefiting at the expense of those who are still waiting for a solution.”

His solution centred on increasing investment in engine maintenance infrastructure and creating a more competitive aftermarket.

“We really need the OEMs and suppliers to listen to what we’re saying,” Walsh said, warning that forecast growth in engine shop visits could quickly outstrip available capacity.

He argued that airlines need greater access to third-party MRO providers, improved access to spare parts and a more open aftermarket that provides genuine choice over maintenance providers.

Without those changes, Walsh warned, the industry risks facing a significant capacity crunch within the next five to ten years as engine maintenance demand accelerates.

While the panellists approached the issue from different parts of the aviation ecosystem, their priorities for the future were closely aligned.

Gruener identified improved data exchange and better parts availability as essential next steps for the industry.

Robledo Martín called for a shift away from reactive operations, saying the industry needs to stop “firefighting to survive” and instead focus on investment in technology and creating additional maintenance capacity.

Walsh echoed those themes, highlighting the importance of greater visibility across the supply chain, improved data sharing, better awareness of emerging issues and maximising the value of available parts through a more open market.

Collectively, the discussion reinforced a growing consensus across airlines, MROs and lessors that supply chain resilience will depend not only on increasing production but also on improving collaboration, transparency and access throughout the aftermarket.

Closing the session, Khomenko summed up the industry’s shared ambition: “Let’s hope the challenges can be overcome to ensure the industry remains agile and resilient.”

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