Türkiye's Pegasus to Begin work on New Plane Order for Delivery beyond 2029

Officials work on the wreckage of a plane operated by Pegasus Airlines after it skidded Wednesday off the runway at Istanbul’s Sabiha Gokcen Airport, in Istanbul, Thursday, Feb. 6, 2020. (Emrah Gurel/Associated Press)
Officials work on the wreckage of a plane operated by Pegasus Airlines after it skidded Wednesday off the runway at Istanbul’s Sabiha Gokcen Airport, in Istanbul, Thursday, Feb. 6, 2020. (Emrah Gurel/Associated Press)
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Türkiye's Pegasus to Begin work on New Plane Order for Delivery beyond 2029

Officials work on the wreckage of a plane operated by Pegasus Airlines after it skidded Wednesday off the runway at Istanbul’s Sabiha Gokcen Airport, in Istanbul, Thursday, Feb. 6, 2020. (Emrah Gurel/Associated Press)
Officials work on the wreckage of a plane operated by Pegasus Airlines after it skidded Wednesday off the runway at Istanbul’s Sabiha Gokcen Airport, in Istanbul, Thursday, Feb. 6, 2020. (Emrah Gurel/Associated Press)

Türkiye Pegasus Airlines will in the coming months begin work on its next plane order as it looks to continue its fast-paced growth into the next decade, the budget carrier's CEO told Reuters on Sunday.

Pegasus, which has seen a rapid recovery in travel after the pandemic, placed an order for 36 Airbus A321neo planes in July 2023, taking its total orders since 2012 to 150.

Sixteen will be delivered this year and the remaining 52 by the end of 2029, Guliz Ozturk said in an interview.

Production slots at the two dominant planemakers Airbus and Boeing are sold out for many years, resulting in long wait times for airlines wishing to replace and grow their fleets.

"Beyond 2029, as long we want to grow - and we want to grow, the demand is there - we have to go out with a new order," Ozturk said, adding that there are no specific decisions or studies yet.

Safety concerns at US planemaker Boeing and output delays at Airbus are forcing airlines to plan new aircraft orders well in advance to keep pace with the rapid rebound in air travel since the pandemic.

Pegasus has a mixed Boeing and Airbus fleet of 105 aircraft, but the fleet is dominated by European planemaker Airbus.

When asked whether the airline's dual fleet strategy has worked well, Ozturk said that while it may seem simpler to run a single fleet, "when you have delivery delays, it's good that you have the two manufacturers in the picture".

Pegasus has not faced any significant delays in deliveries from Airbus, she added.

For Ozturk, the biggest challenge is keeping pace with demand while managing costs at a time when geopolitical tensions and wars result in higher fuel prices and add to inflation.

She said despite the disruptions, the airline aims to achieve an operating profit margin of 28% to 30% in 2024.



Hong Kong Leader Says Concerns over Panama Ports Deal Warrant 'Attention'

FILE - A cargo ship sails next to the Panama Canal's Balboa port in Panama City, Feb. 1, 2025. (AP Photo/Matias Delacroix, File)
FILE - A cargo ship sails next to the Panama Canal's Balboa port in Panama City, Feb. 1, 2025. (AP Photo/Matias Delacroix, File)
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Hong Kong Leader Says Concerns over Panama Ports Deal Warrant 'Attention'

FILE - A cargo ship sails next to the Panama Canal's Balboa port in Panama City, Feb. 1, 2025. (AP Photo/Matias Delacroix, File)
FILE - A cargo ship sails next to the Panama Canal's Balboa port in Panama City, Feb. 1, 2025. (AP Photo/Matias Delacroix, File)

Hong Kong leader John Lee on Tuesday said criticism of city conglomerate CK Hutchison's sale of its Panama Canal ports deserved "serious attention", after Beijing authorities repeatedly slammed the deal.

The business empire of Hong Kong's richest man, Li Ka-shing, sold most of its port operations -- including those in the canal -- to a US-led consortium this month following pressure from US President Donald Trump.

But Beijing has upped pressure on the firm since, with two Chinese government offices managing Hong Kong affairs republishing newspaper articles last week blasting the transaction and questioning whether CK Hutchison sided with the United States over China, AFP reported.

"There have been extensive discussions in society about the issue and this reflects society's concern over the matter," Lee, the chief executive of the largely autonomous Chinese city, told reporters.

"These concerns deserve serious attention."

Bloomberg News reported on Tuesday, citing unnamed sources, that senior Chinese leaders have ordered several government agencies -- including the State Administration for Market Regulation -- to scrutinize the deal.

This examination by Beijing does not necessarily result in follow-up action, the sources told Bloomberg, asking not to be identified to discuss private deliberations.

Shares of CK Hutchison in Hong Kong fell nearly four percent on Tuesday morning.

For months, Trump has complained that China controls shipping in the Panama Canal, which was built by the United States more than a century ago to link the Pacific and Atlantic oceans.

The US president repeatedly threatened to "take back" the canal, which was handed over to Panama in 1999.

'Bullying tactics'

Before the sale, CK Hutchison's subsidiary in Panama had managed two of the five ports at the canal -- one on the Cristobal, Atlantic, side and the other on the Balboa, Pacific, side -- via a government concession since 1997.

CK Hutchison, one of Hong Kong's largest conglomerates, said the deal was unrelated to recent political news.

Lee on Tuesday urged foreign governments to "provide a fair and just environment" for Hong Kong enterprises, without calling out the United States by name.

"We oppose the abusive use of coercion, of bullying tactics in international economic and trade relations," he said.

Lee said any transaction must comply with legal and regulatory requirements, adding that Hong Kong would "handle it in accordance with the law and regulations".

The Hong Kong and Macao Work Office -- an office in Beijing overseeing Hong Kong affairs -- republished a newspaper article last Thursday asking CK Hutchison "which side it stands on".

Two days later, it ran another piece critical of the deal, which was later republished by the Liaison Office, the top Beijing authority based in Hong Kong.

AFP has contacted the conglomerate for comment.

Outspoken Hong Kong ex-leader CY Leung added to the chorus of criticism, saying "some Hong Kong businesspeople mistakenly believe that 'businesspeople have no homeland'".

"American businesspeople can and will do only things aligned with US interests... the same applies to China," Leung wrote on Facebook on Monday.