CEBU CITY – Cebu Pacific (CEB), a low-cost Philippine airline, has announced a historic purchase of 152 aircraft from Airbus, marking the largest order in the country's aviation history.
According to Philippines news Agency, the memorandum of understanding with Airbus includes an order valued at PHP1.4 trillion (USD24 billion). CEB's CEO, Michael Szucs, explained that the order allows for flexibility between the A321neo and A320neo models to adjust fleet growth based on market conditions. The airline, led by the Gokongwei family, has also chosen Pratt and Whitney GTF engines for the new aircraft, with the purchase agreement expected to be finalized in the third quarter of this year.
President Ferdinand R. Marcos Jr. hailed the massive expansion as a positive indicator for the Philippine economy during a courtesy call by CEB officials at Malacañang. The president emphasized the significance of Cebu Pacific's investment as a demonstration of confidence in the country's economic direction and a step towards transforming the Philippine economy.
Szucs echoed this sentiment, stating the order represents the airline's trust in the nation's economic trajectory and described it as a bold step forward for Cebu Pacific. Under the leadership of Lance Gokongwei, president and CEO of JG Summit Holdings, which owns Cebu Pacific, the company briefed President Marcos on its investment plans and discussed the need for government support to maintain competitiveness in the Philippine aviation sector.
Cebu Pacific currently leads the domestic market with a 54 percent share, followed by Philippine Airlines at 29 percent and AirAsia at 17 percent. The airline reported a first-quarter revenue in 2024 of PHP25.3 billion and boasts total assets of approximately PHP200 billion. It was also recognized as the Best Airline at the Routes Asia 2024 Awards in February for its significant contributions to airport and destination marketing, particularly through the resumption of operations at its Clark hub and the launch of 15 new domestic and international routes last April.
CEB operates flights to 35 domestic and 25 international destinations, further solidifying its position as a key player in the regional aviation market.