A senior Rolls-Royce executive defended the company’s recent price increases and performance improvements on Tuesday, after airlines accused engine makers of profiting from supply chain disruptions.
Willie Walsh, head of the International Air Transport Association, said on Monday that engine manufacturers had raised repair costs across the board despite ongoing durability issues and long maintenance queues for the latest jet engines.
Rob Watson, president of Rolls-Royce’s civil aerospace division, said pricing reflected supply chain disruptions and the broader impact of geopolitical instability.
“I think that our pricing reflects supply chain disruption coming out of COVID,” Watson said in an interview at the Singapore Airshow. “For us, pricing has to some extent been a function of cost. We’re reflecting raised costs, which are driven by all those supply chain challenges that everybody talks about.”
Watson added that Rolls-Royce is “on track” with a program to improve the durability of its largest engine for the long-haul Airbus A350-1000. The company has said the enhancements have already increased time on wing between overhauls by 60%, with further gains expected by 2028. Testing in harsh Middle Eastern conditions is planned for 2027.
Emirates, the world’s largest buyer of wide-body jets, has stressed the need for longer intervals between engine overhauls before committing to new aircraft purchases.
On proposals by Airbus to expand the A350 family with a larger A350-2000 model to compete with Boeing’s 777-9, Watson expressed broad support but did not provide details.
“We have a very close partnership with Airbus, which has been very successful. So we’ll always want to stay aligned with their market outlook and ensure our product strategy aligns with theirs,” he said.
Some analysts have noted that such a larger aircraft would likely require costly engine enhancements or new development.