SINGAPORE, Feb 3 (Reuters) - A senior Rolls-Royce
executive on Tuesday defended recent price rises and
improvements in performance after airlines accused engine makers
of profiting from supply chain problems.
The head of the International Air Transport Association,
Willie Walsh, said on Monday that engine makers had raised
prices across the board for repairs despite shortfalls in
durability and long queues for maintenance on the latest jet
engines.
Rob Watson, president of Rolls-Royce's civil aerospace
division, said engine pricing reflected supply chain disruptions
and the fallout from geopolitical instability.
"I think that our pricing reflects supply chain disruption
coming out of COVID," Watson said in an interview on the
sidelines of 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," he added.
Watson said 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.
Rolls has said the improvements are already delivering 60%
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.
Asked about proposals by Airbus to expand the A350 family
with a bigger A350-2000 model to counter Boeing's ( BA ) 777-9,
Watson 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 such a plane would require a
potentially costly engine enhancement or development.