Rolls-Royce defends pricing after airlines bash engine industry
A senior executive says that the cost reflects supply-chain disruptions and the fallout from geopolitical instability
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[SINGAPORE] A senior Rolls-Royce executive on Tuesday (Feb 3) defended the recent price rises and improvements in performance, after airlines accused engine makers of profiting from supply-chain problems.
Willie Walsh, head of the International Air Transport Association, said on Monday that engine makers had raised prices across the board for repairs, despite the shortfalls in durability and long queues for maintenance on the latest jet engines.
Rob Watson, president of Rolls-Royce’s civil aerospace division, said that the engine pricing reflected supply-chain disruptions and the fallout from geopolitical instability.
He said in an interview on the sidelines of the Singapore Airshow: “I think that our pricing reflects (the) supply-chain disruption coming out of Covid.
“For us, pricing has to some extent (be) a function of cost. We’re reflecting raised costs, which are driven by all those supply-chain challenges that everybody talks about.”
He said that the British engine maker was “on track”, with a programme of improvements in the durability of its largest engine for the long-haul Airbus A350-1000.
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Rolls-Royce has said that the improvements are already delivering 60 per cent more time on wing between overhauls, with further improvements expected from 2028.
It plans to test the engine in harsh Middle East conditions in 2027. Dubai’s Emirates, the world’s largest buyer of wide-body jets, has called for progress in lengthening the time between repair shop visits before buying the jet.
When asked about proposals by Airbus to expand the A350 family with a bigger A350-2000 model to counter Boeing’s 777-9, he voiced general support but declined to be drawn into specifics.
“We have a very close partnership with Airbus, which has been very successful. So we’ll always want to stay aligned with their thinking of the market, and ... make sure our product strategy is aligned with their product strategy.”
Some analysts have said that such a plane would require a potentially costly engine enhancement or development. REUTERS
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