ATR has decided to pause its production ramp-up plans as it navigates ongoing supply chain challenges. The Franco-Italian company, jointly owned by Airbus and Leonardo, delivered 35 aircraft last year, just one short of the 36 delivered in 2023. This decision aims to ensure the efficiency of ATR production amidst these challenges.
The company had initially planned to deliver around 40 aircraft in 2024, according to a report from Reuters. However, due to continued supply chain issues, the focus will shift towards stabilizing ATR production instead. ATR has not announced a delivery target for 2025, but it aims to maintain current levels before considering an increase.
CEO Nathalie Tarnaud Laude acknowledged the difficulties ahead, stating, “When I look at 2025, I would say that the context is still very difficult so (the) supply chain situation as we see it will remain tense in some areas, but we see some areas of improvement.” She added that this year, ATR’s priority is to stabilize production while preparing for growth in the second half of the year. “Our ambition is to ramp up to a high level of production,” she said.
ATR, which specializes in regional turboprop aircraft seating between 42 and 78 passengers, was once producing around 80 aircraft annually before the pandemic. Current supply chain disruptions have prevented it from returning to those numbers.
Hybrid-Propulsion Aircraft Delayed
Navigating Challenges in ATR Production
In addition to supply chain concerns, ATR has pushed back the launch of its hybrid-propulsion aircraft from 2030 to 2035. The decision comes as the necessary engine technology is not yet available, according to FlightGlobal.
The delay follows Airbus’ recent move to suspend its hydrogen-powered regional aircraft program for five to ten years. These setbacks highlight the technological and manufacturing challenges facing next-generation aircraft development.
Despite production difficulties, ATR continues to see strong demand. The company secured 56 new aircraft orders in 2024, up from 40 the previous year. After factoring in cancellations, ATR recorded 53 net orders for the year.
ATR’s steadfast commitment to production amidst supply chain disruptions is commendable. The company’s ability to adapt and innovate in the face of adversity demonstrates its resilience and dedication to meeting market demand. Despite industry setbacks, ATR’s continued success in securing new orders solidifies its position as a leader in the regional turboprop market.
