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PARIS (Reuters) -Visibility for aviation suppliers is improving, helped by Airbus’ measures to overcome supply chain snags that hit demand in the past year, aluminium products maker Constellium (NYSE:CSTM) said on Wednesday.
Bottlenecks in the supply chain, notably for engines, have hampered Airbus’ efforts to ramp up output, though the jet maker has maintained a 2025 delivery target.
Constellium, one of the world’s largest suppliers of aluminium for planes, has felt the knock-on effect with lower volumes for its aerospace business since last year.
"Things are more reassuring, we are a little less in the mist at an industrial level," Philippe Hoffmann, president of aerospace and transportation at Constellium, told Reuters at the Paris Airshow.
Boeing (NYSE:BA), meanwhile, is also expected to accelerate deliveries once it has integrated Spirit AeroSystems (NYSE:SPR), Hoffman said.
Increased deliveries by the two global planemakers, along with a clearing of current inventory levels, should lift demand along the supply chain within the next two years, he added.
The longer-term demand outlook for aluminium in aerospace remains healthy, with Airbus boasting orders going out over a decade for aluminium-intensive models like its A320 single-aisle jet, Hoffmann added.