At the start of July, Air China, China Eastern, China Southern and Shenzhen Airlines placed an order for 292 single-aisle A320 family aircraft from Airbus.
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Air Chinaand its unit Shenzhen Airlines will buy 55Airbusaircraft for a total list price of $12.4 billion, as China’s flag carrier moves to expand capacity and modernize its fleet with more fuel-efficient aircraft.
Air China agreed to buy 15 A350-900 wide-body jets, while Shenzhen Airlines will separately purchase 40 narrow-body A320neo-family aircraft, according to a filing by Air China with the Shanghai stock exchange.
The A350-900 jets, with a list value of about $6.09 billion based onAirbus’s January 2025 list prices, are scheduled for delivery between 2030 and 2032. The 40 A320neo family aircraft, valued at about $6.35 billion based on January 2024 list prices, are slated for delivery between 2029 and 2032.
Air China said in the filing that the actual transaction prices will be lower than the listed values, withAirbusoffering significant discounts, a standard practice for sizeable aircraft orders. Both airlines will fund the purchases through a mix of their own funds, commercial bank loans and other financing arrangements.
The order comes as Chinese carriers continue to rebuild and expand their fleets following the pandemic. Air China said the new aircraft would help optimize its fleet structure and route network, improve operational efficiency and reduce costs.
The A320neo family competes with the medium-haul Boeing 737 MAX, while the A350-900 is widely used on long-haul international routes.
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