(Bloomberg) -- Airbus SE said production concerns have shifted from a shortage of jet engines to smaller suppliers struggling to cope with spiraling energy costs, with the squeeze expected to become most acute next spring.

FTX’s Balance Sheet Was Bad

Musk Publicly Punishes Twitter Engineers Who Call Him Out Online

FTX Latest: Binance CEO Zhao Plans Recovery Fund

World’s Biggest Crypto Fund Hits Record 42% Discount to Value of Bitcoin It Holds

China Plans Property Rescue in Latest Surprise Policy Shift

The world’s largest planemaker is working to mitigate the impact of the energy crisis for component makers by being flexible with its aircraft production sequencing and supporting vendors seeking to raise working capital from banks, Chief Executive Officer Guillaume Faury said in an interview Monday.

“We have new issues coming from the energy situation, the prices of gas and electricity that are impacting small suppliers,” Faury said. “That’s a bit of a different nature and this will not impact the production before maybe the second quarter of next year.”

Airbus has struggled with supply-chain constraints since it began lifting output following factory shutdowns at the height of the coronavirus crisis. Hundreds of small firms it relies on face recruitment issues and raw materials shortages even as the manufacturing giant seeks to accelerate build rates to record levels over coming years.

Increased power prices following Russia’s invasion of Ukraine have added to the problems. Germany, one of the locations where Airbus makes its workhorse A320-series narrow-body family, is among countries hardest hit as Moscow squeezes gas supplies.

Faury, who cut the full-year delivery goal from 720 to 700 planes in July, said the company now expects to hand over “around 700” this year, indicating the difficulties of reaching even a revised target that requires more than 200 planes to be shipped in the final two months of the year.

Beyond that, he said there’s time to ensure that the energy squeeze doesn’t result in a further drag on build rates.

“There are a lot of moving parts and we need to anticipate as good as we can to find solutions before the problems hits the final assembly line,” the CEO said on Bloomberg Television in Berlin.

Faury said that Airbus is in contact with customers and partners in China as deteriorating political relations between Beijing and the West create uncertainty at an industrial level.

The European planemaker is anxious to maintain its 50% market share in China, which accounts for one in five of all aircraft sold worldwide, as well as production facilities in the city of Tianjin.

“We are not naive,” Faury said. “We see the way the world is evolving and the challenges of making business between China and the West. We need to make sure we are less exposed to risks of a geopolitical nature, because we see the way the tensions are rising.”

Joe Biden and Xi Jinping concluded the first in-person meeting between US and Chinese leaders since the pandemic began on Monday, with both calling for reduced tensions. The White House said Secretary of State Antony Blinken would travel to China, in a sign of a possible thaw in relations.

Among other issues covered by Faury in the interview were:

A repurposed A380 superjumbo assembly line at Airbus’s headquarters in Toulouse, France, will begin making A320-series planes next year, with production optimized for the larger A321 model

Demand in the wide-body jet market is being driven by a need for replacement planes after older ones were retired during the pandemic. Orders for growth should kick in the second-half of this decade. The market is also likely to be hit harder by a global recession, with single-aisle sales more robust

Airbus continues to work to raise production and cut costs on its smallest A220 model. Development of a stretched A220-500 is “not a matter of if, more a matter of when” once the focus on the A321 leaves a gap for a mid-sized narrowbody, though nothing is imminent

(Updates with further CEO comments from 13th paragraph)

Most Read from Bloomberg Businessweek

How Apple Stores Went From Geek Paradise to Union Front Line

Americans Have $5 Trillion in Cash, Thanks to Federal Stimulus

One of Gaming’s Most Hated Execs Is Jumping Into the Metaverse

The Golden Era of AI Chess Makes Things Tricky for Players

Meta Investors Are in No Mood for Zuckerberg’s Metaverse Moonshot

A group of Meta Platforms, Inc (NASDAQ: META) workers who joined via a corporate training program alleged inferior severance packages compared to other workers whom the company recently laid off. The employees were members of Meta’s Sourcer Development Program, likely to help workers from diverse backgrounds obtain careers in corporate technology recruiting, CNBC reports. Nearly every member of Meta’s Sourcer Development Program, more than 60 workers, was let go from the company as part of its m

Feel lied to about your new job? It's called shift shock, and it's not you.View Entire Post ›

Workers on H-1B visas have just 60 days to find a new job if they are laid off, otherwise the must leave the US.

CHICAGO (Reuters) -Delta Air Lines' offer to give pilots a 34% cumulative pay increase in a new four-year contract has boosted hopes of similar raises at rivals United Airlines, American Airlines. While Delta's offer still requires the approval of union leaders and then a ratification by its pilots, aviators at United and American told Reuters the Atlanta-based carrier has "raised the bar" with a "very strong" proposal. "This is going to be the benchmark," an American pilot said.

The layoffs and cost-cutting that Intel Corp. executives recently warned about have begun in California, with a couple of hundred employees set to lose their jobs next month, and manufacturing employees worldwide being offered unpaid leave.

United Airlines Chief Executive Scott Kirby said a tentative contract agreement between rival Delta Air Lines and its pilots union would set an industry pattern. "It's a rich contract but I think the really good news is it means we'll all get deals done essentially on the same terms and can move forward," Kirby told Reuters on the sidelines of an event in Washington late Monday. Delta struck a tentative deal Friday to give pilots a 34% cumulative pay increase in a new four-year contract.

General Electric, whose spinoff of its health care and energy companies will leave Evendale-based GE Aerospace as the sole company, bought out every single print add in the New York Times for the first time in the newspaper's history.

Disney is facing a lawsuit over a system many people use at its theme parks.

Ford CEO Jim Farley said 1,920 dealers have agreed to invest in the company's new EV sales program amid controversy.

Ever since she was a 10th grader in Seattle, Annalice Ni wanted to develop software for a prominent tech company like Google. So she went to great lengths to meet the internship and other résumé criteria that make students attractive hires to the biggest tech firms. In high school, Ni took computer science courses, interned at Microsoft and volunteered as a coding teacher for younger students. She majored in computer science at the University of Washington, earning coveted software engineering i

Tech workers are rallying together to help peers who face having to leave the US after being laid off.

(Bloomberg) -- The digital gold rush in Texas is losing its luster as Bitcoin miners grapple with financial woes, leaving behind what some fear will be a wasteland of unfinished sites and abandoned equipment. Most Read from Bloomberg‘Huge, Missing and Growing:’ $65 Trillion in Dollar Debt Sparks ConcernStocks Hit by Fed-Hike Jitters as US Yields Surge: Markets WrapThird Russian Airfield Hit by Drone as Moscow Accuses UkraineElon Musk’s Impossible Electric Truck Is Getting the Last LaughEx-Deutsc

(Bloomberg) -- Russia’s crude oil shipments to Europe are shrinking fast. A European Union ban on seaborne imports from the country is now in effect, shutting off a market that was taking more than 1.5 million barrels a day before Moscow’s troops invaded Ukraine in late February.Most Read from Bloomberg‘Huge, Missing and Growing:’ $65 Trillion in Dollar Debt Sparks ConcernStocks Hit by Fed-Hike Jitters as US Yields Surge: Markets WrapAmbitious Plans to Build Indonesia a Brand New Capital City Ar

Have an issue with your financial adviser or looking to hire a new one? Email picks@marketwatch.com.

The working world has become increasingly remote, with work-from-home jobs available for people with all levels of education. Some companies are now looking at a prospective employee's skills and...

In November, the finance and insurance sector had a high volume of tech job postings, a CompTIA analysis finds.

Europe just set a $60 price cap on Moscow's oil — so the Russian president has "basically destroyed his most important market," Dan Yergin said.

Brad Pitt, earlier this year, sued ex Angelina Jolie for selling her interest in their family winery without his approval and violating an agreement she said they never made

Congress backed a deal between rail workers and companies that only included one paid sick day. Shareholders are now stepping in.

Although traditionally many Americans have envisioned retirement age as 65, according to the Social Security Administration, for those born in 1960 or later "full retirement age" is actually 67. Yet,...