Malaysia Airlines plans for more Max planes

KUALA LUMPUR: Malaysia Airlines Bhd is considering ordering 25 single-aisle jets, probably Boeing Co’s 737 Max on top of an existing firm order for 25 of the planes, says chief executive officer Izham Ismail.

“Our future network requires 50 narrowbody aeroplanes, so we have still got space for 25,” Izham said on the sidelines of an annual meeting of the Association of Asia-pacific Airlines in Bangkok. “We have to make a decision by next year.”

Deliveries from the existing Max order are due to begin in 2024. An order for 25 Max costs about Us$1.2bil (Rm5.5bil), based on prices compiled by aircraft appraiser Avitas Inc.

“We continue to work with our customers to meet their fleet requirements,” a Boeing spokesperson said.

“We do not disclose ongoing customer discussions.”

Malaysia Airlines’ passenger traffic is at 76% of pre-covid levels, with a full recovery domestically, it should reach 82% by yearend, Izham said.

China accounted for 17% of capacity before the pandemic and the country may start reopening by the second quarter next year, Izham said.

“We don’t have enough aeroplanes,” he said.

The airline is focusing on shifting passenger capacity from domestic to international markets amid concerns of overcapacity among carriers in Malaysia, the CEO said. — Bloomberg