Ryanair has warned it could cancel its multibillion-dollar order for hundreds of Boeing aircraft if the U.S. proceeds with new tariffs that significantly raise prices, in what would be a major disruption for both the airline and the global aerospace industry.
In a strongly worded letter sent to a senior U.S. lawmaker, Ryanair Chief Executive Michael O’Leary said that President Donald Trump’s proposed tariffs could jeopardize its order for 330 Boeing 737 MAX aircraft, valued at more than $30 billion at list prices. O’Leary said the Irish budget airline would be forced to “reassess” its Boeing commitments if tariffs substantially increased the cost of aircraft exports from the U.S. to Europe.
“If the U.S. government proceeds with its ill-judged plan to impose tariffs, and if these tariffs materially affect the price of Boeing aircraft exports to Europe, then we would certainly reassess both our current Boeing orders, and the possibility of placing those orders elsewhere,” O’Leary wrote in the letter, seen by Reuters.
The warning marks a shift in tone from Ryanair, which had previously suggested it might delay deliveries amid trade tensions. O’Leary’s latest comments follow concerns raised by U.S. Representative Raja Krishnamoorthi over Ryanair’s earlier suggestion it might consider Chinese planemaker COMAC as an alternative supplier.
While O’Leary confirmed Ryanair has not held talks with COMAC since around 2011, he noted the airline would “of course” consider the Chinese manufacturer if its aircraft were 10% to 20% cheaper than Airbus planes. However, COMAC’s C919 aircraft is not yet certified for use in Europe or the U.S., and industry sources suggest its jets are smaller than the Boeing 737 MAX 10 that Ryanair currently favors.
Airbus, Boeing’s main competitor and the only other large-scale supplier of single-aisle jets, has stated that it is sold out for the rest of the decade—potentially limiting Ryanair’s flexibility in seeking alternatives. Furthermore, contracts for aircraft purchases typically do not account for tariffs, leaving airlines exposed to cost increases once the planes are delivered.
Aviation analysts noted that while cancelling aircraft orders is rare due to supply constraints and long backlogs, Ryanair’s move may be aimed at gaining leverage in negotiations with Boeing. Aircraft makers also typically resist cancellations by citing supply chain or regulatory delays as valid reasons for schedule adjustments.
Boeing has yet to comment publicly on the letter. Meanwhile, the aircraft manufacturer is grappling with its own trade challenges, including attempts to resell planes previously destined for China amid growing geopolitical tensions.
