Air­bus an­nounces China or­der of 140 planes for $22.8 bil­lion

Kuwait Times - - BUSINESS -

Air­bus said yes­ter­day it had won a ma­jor or­der from China of 140 planes for $22.8 bil­lion, dur­ing a visit by Pres­i­dent Xi Jin­ping to Ber­lin. The Euro­pean air­craft maker said it had sealed the agree­ment with China Avi­a­tion Sup­plies Hold­ing Com­pany (CAS), which chief ex­ec­u­tive Tom En­ders called “one of the big­gest con­tracts signed in a long time by Air­bus”. The deal cov­ers 100 A320 sin­gleaisle jets and 40 A350 wide-body air­craft.

“This un­der­scores the strong de­mand by Chi­nese air­lines in all seg­ments, from do­mes­tic and low-cost to the re­gional and in­ter­na­tional long-haul mar­ket,” Air­bus said in a state­ment. The com­pany said a mar­ket anal­y­sis fore­cast a dou­bling of de­mand world­wide for planes with more than 100 seats to 40,000 air­craft in the next 20 years, fu­elled largely by de­mand from de­vel­op­ing mar­kets such as China.

“In the mid-1990s we had a mar­ket share (in China) of five to six per­cent,” En­ders said. “Twenty years later we have around 50 per­cent-we re­ally put our foot on the gas.” Air­bus said its A320 line of planes was the world’s best-sell­ing sin­gle-aisle air­craft with more than 13,000 or­ders and 7,600 planes de­liv­ered. In Jan­uary last year, BOC Avi­a­tion, owned by Bank of China, an­nounced an or­der for 30 Air­bus A320s worth more than $3 bil­lion to meet grow­ing de­mand.

At last month’s Paris Air Show, Air­bus an­nounced 326 or­ders worth nearly $40 bil­lion. How­ever, it was out­paced at the event, one of the big­gest an­nual sales bazaars in the in­dus­try, by Boe­ing thanks to its new 737 MAX 10 air­liner, tak­ing in a to­tal of 571 or­ders for nearly $75 bil­lion. Xi was in Ber­lin for talks with Chan­cel­lor An­gela Merkel ahead of the G20 sum­mit of big in­dus­tri­al­ized and emerg­ing economies in the north­ern Ger­man port city of Ham­burg start­ing Fri­day. —AFP

BER­LIN: Ger­man Chan­cel­lor An­gela Merkel (C) looks on as Tom En­ders (R), CEO of the Air­bus Group, shakes hands with a Chi­nese trad­ing part­ner dur­ing a sign­ing cer­e­mony of Ger­man-Chi­nese busi­ness con­tracts at the Chan­cellery. —AFP

Newspapers in English

Newspapers from Kuwait

© PressReader. All rights reserved.