Market Intelligence: -Airline Aircraft Orders

Philippines – Cebu Pacific and Philippine Airlines (PAL) have placed orders exceeding 110 aircraft with Airbus, in a move to address long-term growth forecasts for the Philippine aviation sector. Despite these orders, Airbus warns that further acquisitions may be necessary to meet the country’s rising travel demand.

• The current Philippine order book includes A320, A321, A330, and A350 aircraft, covering domestic, regional, and long-haul routes
• Airbus estimates Philippine air traffic will grow by 7% annually over the next 20 years, outpacing regional and global averages
• In 2023, Cebu Pacific signed a record-breaking $24 billion agreement with Airbus for up to 152 aircraft, the largest single purchase in Philippine aviation history
• PAL is awaiting delivery of nine A350-1000s and 13 A321neos, with plans to add more widebody aircraft over the next decade to expand U.S. connectivity
• As of 2024, the Philippines has approximately 135 Airbus aircraft in service, with Cebu Pacific operating an all-Airbus fleet and PAL relying heavily on Airbus widebodies
• Passenger traffic reached 59.91 million in 2024, with Cebu Pacific accounting for 38% of the market
• The International Air Transport Association (IATA) projects passenger volume in the Philippines to hit 66 million by 2028
• The Philippine government is addressing capacity constraints:
  • Ninoy Aquino International Airport (NAIA) is undergoing a ₱170.6 billion modernization to increase capacity from 35M to 62M passengers annually
  • New Manila International Airport targets a 2028 opening, with an initial 35M passenger capacity

Source: Airbus, PAL & Cebu Pacific