Airbus signs multi-billion dollar deal with China for 300 aircraft

Airbus has signed an agreement with the state buying agency in China covering the purchase of 300 aircraft for Chinese airliners. The deal is reported to be worth tens of billions of dollars.

The deal, reported to be worth tens of billions of dollars, will be seen as a boost for the UK aerospace industry, as Airbus sites at Filton and Broughton design, test and manufacture the wings for all of the OEM’s commercial aircraft, directly sustaining around UK 10,000 jobs.

The agreement was signed in Paris by Guillaume Faury, president of Airbus Commercial Aircraft and future Airbus CEO; and Jia Baojun, chairman of CAS; in the presence of visiting Chinese President Xi Jinping and French President Emmanuel Macron.

The agreement includes 290 A320 Family aircraft and 10 A350 XWB Family aircraft, reflecting the strong demand in all market segments including domestic, low cost, regional and international long haul from Chinese carriers.

“We are honoured to support the growth of China’s civil aviation with our leading aircraft families – single-aisle and widebodies,” said Mr Faury. “Our expanding footprint in China demonstrate our lasting confidence in the Chinese market and our long-term commitment to China and our partners.”

According to Airbus’ latest China Market Forecast 2018 to 2037, China will need an estimated 7,400 new passenger and freighters aircraft in the next 20 years. It represents more than 19% of the world total demand for over 37,400 new aircraft.

By the end of January 2019, the in-service Airbus fleet with Chinese operators totalled some 1,730 aircraft, of which 1,455 are A320 Family, and 17 are A350 XWB Family planes.

With more than 14,600 A320 Family aircraft ordered and over 8,600 delivered, the A320 is one of the world’s most successful single-aisle aircraft families. Of these, the A320neo has over 6,500 orders from over 100 customers since its launch in 2010.

It has incorporated the latest technologies, including its new generation engines and the industry's reference cabin design, delivering 20% fuel cost savings alone. The A320neo also offers significant environmental benefits with nearly a 50% reduction in noise footprint compared to previous generation aircraft.

The A350 XWB is one of the the world’s most modern and eco-efficient aircraft families shaping the future of air travel. It is the long-range leader in the large wide-body market (300 to 400+ seats). The A350 XWB offers by design operational flexibility and efficiency for all market segments up to ultra-long haul (9,700nm). It features the latest aerodynamic design, carbon fibre fuselage and wings, plus new fuel-efficient Rolls-Royce engines. Together, these latest technologies translate into top levels of operational efficiency, with a 25% reduction in fuel burn and emissions.

Airbus www.airbus.com