China Negotiating Major Airbus Purchase Source

AEROSPACE

The Airbus A320

Paris (AFP) Nov 29, 2005
China may sign a major order for Airbus A320 passenger jets during a forthcoming visit to France by Premier Wen Jiabao, a source close to the talks said Tuesday.

Diplomatic sources, meanwhile, said that Wen would visit from December 4 to 7 during a trip that would also include Portugal, the Czech Republic and Slovakia.

The French leg is to begin in Toulouse, the southern city that is home to Airbus.

A major order would allow the European aircraft manufacturer to bounce back from an order of 70 Boeing B737 jets that the US group notched up during the visit to Beijing by US President George W. Bush.

Chinese air travel is growing by double digits annually and the country has become a major battleground for the two aerospace giants.

Boeing currently holds around 60 percent of the Chinese market, with Airbus well back at 28 percent.

The European group is aiming for 50 percent, and has offered China a five percent share in development of the A350 model that is designed to compete with Boeing's future fuel-efficient 787.

Airbus estimates total potential sales in China over the next 20 years at 1,600 planes, including 200 of its A380 superjumbo jets, while Boeing sees Chinese airlines buying 2,600 planes over the same period for a total 213 billion dollars (181 billion euros).

The number of passengers transported in China last year climbed by 16 percent to 122 million, twice the pace of the global market.

AEROSPACE

AirAsia To Dramatically Expand On Wings Of New Airbus Planes

Kuala Lumpur (AFP) Nov 27, 2005
Budget carrier AirAsia is embarking on a major expansion plan in China and Southeast Asia on the wings of 100 brand-new Airbus A320 planes that will quadruple the size of its fleet and shave down costs.

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