China Airlines Buys New Aircraft

China Airlines is beefing up its commitment to next-generation Airbus aircraft with a further purchase.

The Taiwanese-based company is set to spend more than USD 2 billion in a move that’ll increase its reliance on Airbus jets.

At this stage, the new aircraft do not have a firm timeframe for when they will be delivered, nor has the company divulged any further details on configuration or deployment plans.

As part of the latest agreement, the airline plans to enhance its long-haul operations by adding five more Airbus A350-900s to its fleet.

Next, the carrier will also expand its medium to short-haul network with the addition of eight Airbus A321neo jets, five of which will be sourced from leading aircraft lessor Air Lease Corporation.

The deal with Air Lease Corporation is valued at USD 240 million and will carry a term of approximately 10-13 years, with the possibility of extension in the future.

An Airbus A321neo that'll eventually fly with Thai Airways — An Airbus A321neo that’ll eventually fly with Thai Airways

In a statement published by the airline, the fate of the A350s remains unclear, with options to purchase these outright or reach agreements with lessors.

What is for sure is that the A350s are going to be critical to the airline’s long-haul development, as China Airlines believes greater focus needs to be on developing this avenue, as emerging competition poses a threat.

China Airlines’ New 787s Delayed

China Airlines is set to expand its fleet of Airbus next-generation aircraft with deals for the A350 and A321neo, just a day after it confirmed delays in the acquisition of Boeing 787s.

The Taiwanese carrier has become the latest airline to postpone the retirement of its ageing fleet types, such as the A330 and 737, due to Boeing’s inability to deliver aircraft on time.

These delays are impacting the airline’s ability to grow, and the possibility of seeking compensation for the damages remains likely, according to comments from an airline executive to Reuters.

Delays stemming from the 787 also mean that aircraft that should have already been phased out remain, thus having negative ramifications on their business, including financial ones.