Major Airbus Order

Airlines in China are currently planning for a major order of 500 aircraft from Airbus.

The deal, which should’ve been announced many months ago, was not actioned on due to many geopolitical concerns, but it is still something China is moving ahead with.

Airlines such as Air China and China Southern are all likely to be beneficiaries of the major deal, which would represent one of the largest single orders in history.

It won’t just be the larger airlines that will benefit, such as the ones above, but also those of Xiamen Air and the Sichuan Airlines Group, which are seeking to evolve their network, too.

Bloomberg reported that the deal was as much a forward-planning one, in response to the pressures to get large aircraft orders of this scale in sooner rather than later.

With more airlines and countries planning for the future of their aviation industry, significant deals in the hundreds have become increasingly common, huge for the backlogs of commercial aircraft programs.

However, equally, it puts additional pressure on airlines to sort out their commitments sooner rather than later, as delivery slots begin being snapped up, putting at risk the optimal delivery window that said customer may have been envisaging.

With Airbus already delaying the delivery of new commercial aircraft thanks to its supply chain woes, customers know they need to get their deals in sooner rather than later.

An Important Order For Airbus

Much has been said over recent years about the planemaker’s ability to sell its commercial aircraft to customers in China for a host of reasons.

Essentially, the persistent geopolitical tensions with the West have presented roadblocks in getting contracts signed, alongside other tensions around the world, which reportedly halted the announcement of this deal many months ago, ironically as well.

With Airbus and Boeing both realising there is a strong appetite for new commercial aircraft orders from China, each understands the significant benefits of securing a contract for their backlogs.

Airbus now looks poised to win a large bulk of that, with 500 planes being purchased, a deal that’ll not only support the future expansion of Chinese operators but also, more importantly, allow for the renewal of these airlines’ fleet.

What hasn’t gone unnoticed is the average age of airlines’ fleets in China beginning to creep up compared to their global counterparts. Next-generation aircraft are neccesary, and Airbus will play a massive role in providing that.

Additionally, the contract comes at a time when COMAC, a Chinese planemaker itself, is trying to assert its authority in the industry with new commercial aircraft of its own to counter Airbus and Boeing.

Airbus has said previously it sees COMAC as a real threat and it must treat it as such, being cautious about the contracts it is offering customers and wary that this manufacturer could come in and snap up market share, which it has already successfully done despite this order in China.

But, despite the operational complexities that have hit Airbus, it still feels it’s more well-positioned to provide aircraft to China at a suitable rate moving forward and certainly into the 2030s.

Once confirmed, the deal will also give Airbus the significant lead it desires over Boeing for commercial aircraft orders in 2025, for yet another year, despite hefty competition from Boeing throughout the year, which has enjoyed a more stable 2025 as well.