Icelandair to Retire Its Boeing 767 Fleet in 2026

Photographer: Philippe Noret - AirTeamImages.com

Icelandair has confirmed plans to retire its three Boeing 767-300ER aircraft by 2026 — three years earlier than initially planned. The move marks a notable fleet reshaping for the Icelandic flag carrier as it continues adjusting to evolving market realities and operational costs.

Fleet Modernization and Phaseout

The airline currently operates three Boeing 767-300ERs, which were initially scheduled to remain in service until 2029. Alongside the 767 retirements, two Boeing 757-200 aircraft will also leave the fleet during 2026.

By the end of next year, Icelandair will phase out four 757s and one 767, with the remaining two 767s exiting shortly afterward. This transition is part of a broader strategy to modernize its fleet composition — centered around the Boeing 737 MAX family and incoming Airbus A321LR aircraft.

When complete, Icelandair’s mainline fleet will consist of a mix of Boeing 737 MAX, Airbus A321, and Boeing 757 aircraft, reflecting a more efficient and balanced operational profile suited to its medium-haul and transatlantic missions.