Philippine Airlines is preparing to announce the largest widebody aircraft order in its 85-year history, with a landmark split deal for 10 Boeing 787 Dreamliners and 10 Airbus A350s expected at the Farnborough International Airshow later this month. The order marks PAL's first direct Boeing purchase since 2007—a near two-decade gap that underscores both the carrier's cautious post-bankruptcy approach and Boeing's recent quality struggles.

A Strategic Split

The decision to divide the order between aviation's two giants is notable in an industry where airlines typically consolidate around a single manufacturer for fleet simplicity and maintenance efficiency. According to industry sources familiar with the matter, PAL's strategy reflects both hedging against delivery delays and leveraging negotiating power between the rivals.

Boeing's 787 Dreamliner offers PAL proven economics on transpacific routes to the United States, while Airbus's A350-1000 provides the range and fuel efficiency needed for potential ultra-long-haul expansion to Europe without payload penalties.

"This is PAL betting on both horses," said one aviation analyst. "They're diversifying supplier risk while positioning for growth across different market segments."

The Return to Boeing

Philippine Airlines' relationship with Boeing stretches back decades, but the carrier's 2007 order for 777-300ERs was its last direct purchase from the American manufacturer. The intervening years saw PAL navigate bankruptcy restructuring, emerge leaner, and rebuild its long-haul network primarily with Airbus equipment.

The return to Boeing comes despite recent turbulence for the manufacturer. Quality control issues, door plug incidents, and production slowdowns have plagued Boeing's reputation. Yet the 787 program has remained relatively stable, and the jet's operating economics—particularly on Pacific routes where PAL competes with Asian megacarriers—make it an attractive option.

For Boeing, landing PAL represents a symbolic win in Southeast Asia, a region where Airbus has dominated recent widebody orders.

Fleet Modernization Imperative

The order addresses an urgent need: PAL's aging fleet of Boeing 777-300ERs and Airbus A330-300s is due for replacement. These aircraft, while reliable, lack the fuel efficiency of newer-generation widebodies. With jet fuel prices volatile and sustainability regulations tightening, operating older jets has become increasingly expensive.

The A350-1000, in particular, solves a specific problem for PAL. Routes to markets like San Francisco and New York require aircraft capable of flying fully loaded in both directions—something the A350's range enables year-round without the payload penalties that plague older 777s on certain seasonal routes.

Farnborough 2026: A Blockbuster Show

PAL's order arrives as the Farnborough International Airshow (July 20-24) gears up for what industry observers expect will be a blockbuster year for aircraft deals. Both Boeing and Airbus enter the show with order backlogs thousands of aircraft deep, driven by pandemic-era production slowdowns that created years of pent-up demand.

The 2024 Farnborough saw Airbus edge Boeing in total orders (164 aircraft vs. 118), though Boeing captured the higher-value deals with Korean Air's 777X commitment and Qatar Airways' 777-9 order. This year, industry watchers expect additional widebody orders from airlines across Asia and the Middle East as carriers race to modernize fleets ahead of 2027-2030 delivery windows.

The Bigger Picture

For Philippine Airlines, the order represents more than fleet renewal—it's a statement of ambition. Under CEO Stanley Ng, the carrier has worked to restore its position as a premium Asia-Pacific airline after years of financial struggles. New widebody jets will enable PAL to compete more effectively against Singapore Airlines, Cathay Pacific, and the Gulf carriers on premium routes.

The split order also provides flexibility. If Boeing's production issues persist, PAL can lean on Airbus deliveries. If Airbus's backlog creates delays, Boeing's 787 line—now running more smoothly—offers an alternative. In an era of unprecedented supply chain uncertainty, diversification has become strategy.

The formal announcement at Farnborough will mark a pivotal moment for Philippine aviation. After nearly two decades away from Boeing's order book, PAL is betting big on both manufacturers to power its next chapter of growth.