Business & Finance

PAL Secures Five Additional A350-1000s in Deal with Airbus and Rolls‑Royce

By Today News Hours Editorial Desk

PAL Holdings signed a new agreement in Manila with Airbus and engine maker Rolls‑Royce, adding purchase rights for five more A350‑1000 aircraft. The deal follows PAL’s announcement at the Farnborough International Airshow in July and marks a moment of optimism for the aviation industry amid higher fuel costs linked to the Middle East war. PAL Holdings president Lucio C. Tan III said during the ceremony, “Today, together with Airbus and Rolls Royce, we formally turn that commitment into reality. This firm order will bring our total A350‑1000 fleet to 18 aircraft.” Tan was joined by PAL president Richard Nuttall and chief operating officer Carlos Luis Fernandez, Airbus senior vice president Chris Drewer and Rolls‑Royce senior vice president John Kelly. Civil Aviation Authority of the Philippines director general Raul Del Rosario and Civil Aeronautics Board executive director Carmelo Arcilla also attended.

The additional jets, with deliveries expected to begin in 2034, are intended to support PAL’s expansion into international markets as competition intensifies among global carriers. Tan said the aircraft’s range, fuel efficiency and passenger comfort are advantages for long‑haul routes to New York, Toronto, San Francisco and Los Angeles. He stressed that fleet modernization remains a key priority for Philippine Airlines and that more efficient aircraft are needed to sustain growth and strengthen competitiveness.

The agreement also covers Rolls‑Royce Trent XWB‑97 engines, extending PAL’s longstanding relationships with two major aviation manufacturers as the airline celebrates its 85th anniversary. Tan noted that PAL’s partnership with Airbus dates back to 1978, with the European manufacturer now accounting for 65 of its 86 aircraft in service. He added, “We take pride in that legacy, but we must also look ahead and make the investments needed to ensure that Philippine Airlines remains strong and competitive for generations to come.”