Airbus has secured $35 billion in China Business deal with new Boeing order.
Since Boeing has a tough time because of its 737 Max crisis but today Airbus has recently announced a massive order from China.
The European planemaker Airbus has said on Monday i.e. on 25th March about this big deal that they are going to sell 300 passenger jet planes to Chinese Airlines.
This agreement has already been signed during the visit or Chinese President Xi Jinping’s France visit.
This deal was made during President Xi Jinping’s visit to Paris and includes 290 aircraft of the A320 and 10 A350 series.
Airbus won a US $ 35,000 million deal in China during a state visit by President Xi Jinping to the French capital, which means a new blow to Boeing while facing the ban on its best-selling plane.
What Is This Business Deal?
The giant order includes 290 aircraft of the A320 and 10 A350 series, the office of French President Emmanuel Macron said on Tuesday on 26th March. The latest A320 neo model is priced at the US $ 110.6 million and the A350-900 sells for the US $ 317.4 million before applying discounts.
The 737 Max the Boeing, the main rival of the A320, remains inactive after two accidents in five months. The American aircraft manufacturer must also deal with the consequences of the trade war between China and the United States that has generated a decrease in sales to the Asian giant.
The important agreement for Airbus, based in Toulouse, France, was first publicized by Macron in January 2018 during a trip to Beijing, when a transaction of US $ 18,000 million was discussed. However, a concrete offer did not materialize despite a second visit by the French State in June and another by a delegation of senior Airbus executives in September.
The agreement announced in Paris will include both the Neo and the classic versions or CEOs of the A319, A320, and A321, although the majority will be A320 and A321 Neos, according to officials.
China normally requests large aircraft and then allocates them to its airlines. The Asian giant has become the most important market for Airbus and Boeing as its middle class increases the demand for travel. While the outlook for orders from the US Company has become complicated due to the commercial conflict, Airbus has reinforced its position with an offer aimed at expanding a production line in Tianjin.