Once-Mighty Gulf Airlines Turn to Budget Allies for Growth - Bloomberg

Once-Mighty Gulf Airlines Turn to Budget Allies for Growth - Bloomberg:

From a desert outpost to a sprawling metropolis boasting the world’s biggest long-haul airline, Dubai has long epitomized rapid growth, and its biennial air show has typically mirrored that quest with record-breaking plane orders.

But the last two years haven’t been easy on the aviation industry or the global economy, turning the event, which starts Sunday, into a barometer for future demand.

Boeing Co.’s 737 Max, a star at the 2017 gathering, is grounded following two fatal accidents. The Airbus SE A380 super-jumbo has been canceled, and the three big regional carriers -- Emirates, Etihad Airways and Qatar Airways -- are re-evaluating their fleet requirements and route networks after gorging on wide-body orders in the last decade. The appetite to invest more has also been dented by the fallout from lower oil prices and trade tensions roiling global economies.