Good morning, nice people. The news cycle has slowed down a notch, leaving us with a brisk read this morning led by IPO news from Saudi. We also take a look at the latest updates on Airbus’ A320 software snags, as well as the latest Iran-Turkey rail collaboration. Shall we?

WATCH THIS SPACE-

#1- Airbus’s A320 fleet is almost back to normal operations after the planemaker and regulatory authorities worldwide pushed the needed software changes alongside airlines, resulting in a faster-than-expected turnaround, Reuters reports. The snap software retrofit has now been carried out by dozens of airlines, including regional carriers Flynas, Flyadeal, Etihad Airways, Air Arabia, Turkish Airlines, and EgyptAir.

But some airlines are still working through the software update, with some 100 jets of the A320 fleet still grounded as of Monday afternoon because they require a longer process to fix the presumed bug. Some of these airlines include Colombia’s Avianca, which halted flights through 8 December, and JetBlue, which cancelled 20 flights on Monday.

ICYMI- Airbus recalled some 6k of its A320 jets over the weekend — nearly half of the model’s global fleet in operation — over a suspected software glitch that made aircraft data essential for flight control susceptible to corruption from intense solar radiation. The recall came after a review of a JetBlue incident in October, in which a Cancun-Newark flight suddenly lost altitude, injuring passengers and forcing an emergency landing in Florida, USA.

Market reax: Shares of the Paris-listed aerospace giant fell as much as 10% on Monday in the wake of the recall before closing at an overall drop of 5.8%, CNBC reported. Others in the industry took a hit as well, with Thales, the French aerospace and defense company responsible for supplying the flight system to Airbus, seeing its stock down by 2%.

#2- Jordan gears up to launch operations at revived Amman airport: Amman City Airport — previously Marka International — will begin receiving flights within days after securing its operational license from the country’s Civil Aviation Regulatory Commission (CARC), The Jordan Times reported, citing CARC’s Chief Commissioner Dhaifallah Farajat. The airport will mainly serve narrow-body aircraft with capacities of up to 200 passengers and 80 tons of cargo.

The rationale: With a capacity to accommodate 1 mn passengers annually, the airport is set to serve as a secondary hub for Queen Alia International Airport, helping ease congestion and cut waiting times, the news outlet reported, citing Director General of the Jordan Airports Company (Jac) Ahmad Azzam.

Targeting budget carriers: Jac will primarily target low-cost carriers for the airport, with plans to offer lower operational fees to attract them. Negotiations are already ongoing with Air Cairo, Wizz Air, Ryanair, and Flynas to set up base at the airport as soon as 1H 2026, Azzam said.

Background: The airport served as the country’s main airport until Queen Alia International Airport opened in 1983. Since then, it has mainly been used for non-commercial operations, such as diplomatic, private, and maintenance flights. Jordan Airports Company manages and operates the airport, which has been undergoing rehabilitation for several years.

#3- AirAsia’s Bahrain hub to include MRO base: Aircraft maintenance player AsiaDigital Engineering (ADE), a sister company of AirAsia, will establish a 14-bay maintenance, repair, and overhaul (MRO) facility as part of AirAsia’s upcoming aviation hub in Bahrain, Gulf News Daily reports. The project is expected to eventually expand to a total of 40 bays. The timeline and investment ticket of the MRO base were not disclosed.

Asia’s largest budget carrier is in the process of establishing a Middle East hub in Bahrain to shore up its international coverage, and help the carrier tap into the booming budget flying market in the region. The plans would see the PIF-backed AirAsia launching over 25 daily flights via Bahrain by 2030, the carrier’s CEO Tony Fernandes reportedly said.

About ADE: Established in September 2020, the Kuala Lumpur-based ADE is a wholly-owned subsidiary of Capital A Berhad, which also owns AirAsia. ADE’s services focus on the Airbus A320, A321, and A330 families, offering MRO services, component and warehouse services, and engineering support.

MARKET WATCH-

#1- Oil prices saw a slight uptick this morning amid mixed signals on US stockpiles, as well as ongoing assessments of the impact of Ukrainian attacks on Russian oil operations and rising US-Venezuela tensions, Reuters reported. Brent crude futures rose USD 0.07 to trade at USD 63.24 / bbl as of 04:01 GMT, while US West Texas Intermediate (WTI) was up USD 0.10 to USD 59.42 / bbl.

OVER IN OUR REGION- Saudi Aramco lifted its December official selling prices for liquefied petroleum gas (LPG), as tight global supply pushed benchmarks higher, Reuters reports, citing traders. Propane rose to USD 495 per ton, while butane increased to USD 485 per ton.

The hike comes after Aramco reduced its November official selling prices for LPG, lowering propane to USD 475 per ton and butane to USD 460 per ton due to rising global supply and lower oil prices.

#2- Baltic index continues its upward streak: The Baltic Exchange’s dry bulk sea freight index — which tracks rates for the capesize, panamax, and supramax vessel segments — rose 0.9% on Friday to 2,583, almost a two-year record. The capesize climbed 1.8% to 4,563, also nearly a two-year record. Meanwhile, the panamax index fell by 0.9% to 1,934 points, while the smaller supramax index climbed up 1 point to 1,442.

DATA POINT-

Morocco’s National Railway Office (ONCF) expects its cargo volumes to reach 24 mn tons in 2026 — up 4% y-o-y, according to a statement. The volume is set to include 9.5 mn tons of general freight and 14.5 mn tons of Morocco’s flagship industry product, phosphate.

ONCF is also gearing up to boost its investments in the sector by 28% y-o-y, eyeing a MAD 23 bn drive next year. The government agency also expects a 7% y-o-y rise in revenue, reaching MAD 5.4 bn as a result of forecasted boosts from the cargo and passenger segments.

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CIRCLE YOUR CALENDAR-

Egypt will host the International Procurement Supply Chain Conference on Saturday, 6 December in Cairo. The event will gather over 1k delegates, more than 400 organizations, and over 30 global speakers to discuss the future of trade through keynotes and panel discussions. The discussions will center on Egypt’s transformation in the logistics sector, the future of smart ports and supply chains, as well as digital ecosystems.

Morocco is hosting the Rail Industry Summit on Tuesday, 9 December until Wednesday, 10 December in El Jadida. The two-day event will gather 130 exhibitors, 250 companies, and over 900 participants from 15 countries. It will feature business meetings, high-level conferences, and workshops focused on new market trends and future strategies.

Saudi Arabia is hosting the Saudi Airport Exhibition on Tuesday, 16 December until Wednesday, 17 December in Riyadh. Upwards of 10k global attendees are expected to participate in the event from over 100 countries. The two-day event will focus on airport-related innovation, and will feature participation from Saudia, SolitAir, and Amadeus.

Saudi Arabia is hosting SkyMove Air Cargo MENA on Tuesday, 27 January until Wednesday, 28 January in Riyadh. The event is expected to welcome more than 600 attendees from over 60 countries. The event will unite the whole air cargo value chain, analyze market trends, mitigate potential challenges, and leverage emerging windows.

The UAE is hosting the Middle East ProcureTech Summit on Tuesday, 27 January until Wednesday, 28 January in Dubai. The two-day event will spotlight the shifts in the procurement sector, paying special attention to digital and cloud procurement, and provide a networking platform for executives and industry innovators.

Check out our full calendar at the bottom of this email for a comprehensive listing of upcoming news events and news triggers.

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