Airbus wins £5.4bn plane order from United Airlines

Airbus United plane
Airbus United plane

United Airlines has placed a firm order for 50 Airbus A321XLR aircraft, the wings for which are made in the UK, in a deal worth £5.4 billion.

Airbus employs over 13,000 people in the UK involved in engineering and manufacturing its aircraft wings, and 110,000 work in its UK industry supply chain.

United plans to take delivery of the first A321XLR in 2024 and expects to begin international service with the aircraft in 2025.

“The new Airbus A321XLR aircraft is an ideal one-for-one replacement for the older, less-efficient aircraft currently operating between some of the most vital cities in our intercontinental network,” said Andrew Nocella, United’s executive vice president and chief commercial officer.

The A321XLR is the next evolutionary step in the A320neo/A321neo family of aircraft, meeting market requirements for increased range and payload in a single-aisle aircraft, and creating more value for airlines by enabling economically viable service on longer routes than any comparable aircraft model.

“We are delighted to be re-United with our friends in Chicago and thank them for their trust. The selection of the A321XLR by the leadership of United Airlines is a ringing endorsement of the range, payload, and fuel efficiency that Airbus incorporated into this state-of-the-art aircraft,” said Christian Scherer, Airbus chief commercial officer. “The exceptional versatility and performance of the A321XLR enable new operational efficiencies that flow to the airline’s bottom line.”

Airbus has recently been hit by US tariffs after the World Trade Organization (WTO) ruled Airbus and Boeing have received billions of pounds of illegal subsidies in two cases that have run for 15 years.

As a result the WTO has given the US permission to impose a 10% tariff on Airbus planes.

The plane maker’s chief executive, Guillaume Faury, has said recently there is a lot of hope Boris Johnson’s new Brexit deal will be the foundation of a healthy EU relationship.

Mr Faury said: “There’s a lot of work to be done… But there’s a lot of hope that, based on the withdrawal agreement, there will be a healthy relationship between the UK and the EU, and we are trying to play a role in explaining what is necessary.”

If the Conservative win a majority in the upcoming general election, the current withdrawal agreement could see Britain leave the EU on 31st January.

Asked whether the company would move its wing manufacturing out of the UK regardless of Brexit, Mr Faury added: “We have a very strong base in the UK and we are very happy with this industrial base. We have no reason to move production out of the UK. It would be difficult anyway, these are huge industrial systems – you can’t just move them.”

Airbus www.airbus.com

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Airbus

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