Delta (DAL, Financial) is getting creative to dodge Europe's tariffs and tackle a jet-engine crunch by yanking engines off grounded A321neos in Europe and fitting them into older Airbus planes back home.
Since the new A321neos are stuck overseas awaiting seat approvals, Delta's been shipping their Pratt & Whitney engines back to the U.S. to swap into aging jets that need turbine work.
Once Washington and Brussels hammer out a trade deal, Delta can sail those fresh Airbus jets into the U.S. tariff-free, avoiding extra costs on each delivery.
With planes grounded and tariffs looming, this engine shuffle tackles two headaches at once: keeping older aircraft flying and sidestepping potentially steep import duties.
CEO Ed Bastian says they'll keep moving engines around “as needed,” making sure Delta doesn't pay a cent more in tariffs while keeping its fleet humming.
