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Airbus shadows Boeing in dispute over jet orders in Farnborough – AFR


Airbus shadows Boeing in dispute over jet orders in Farnborough

Farnborough (AFP) –

Daniel HOFFMAN, Roland JACKSON

European planemaker Airbus was trailing its fierce US competitor Boeing in a contract battle on the second day of Tuesday’s Farnborough Airshow as a record heatwave hit southern England.

Airbus eventually opened its order book with a $1.1 billion order for 12 Airbus A220-300 passenger aircraft from Delta Airlines.

The new jets are scheduled for delivery from 2026 and bring the total number of firm A220 orders to 107 single-aisle aircraft.

However, Boeing already had the upper hand after winning a $13.5 billion order for Boeing’s troubled MAX from Delta on Monday’s Farnborough.

The US airline ordered 100 medium-haul MAX jets with an option for 30 more, and shortly thereafter Japan’s ANA agreed to buy 20 MAX-8 jets at a cost of US$2.4 billion.

The MAX jet, which suffered two fatal crashes in 2018 and 2019, is experiencing a rush of interest at this year’s five-day extravaganza in Farnborough, south-west of London.

Independent aviation analyst Howard Wheeldon said customers gave the MAX a thumbs-up at an air show where Boeing usually saves its biggest deal for the end.

“This is a vote of confidence and a sign that they are now moving out of the MAX crisis and in the right direction,” Wheeldon told AFP.

Boeing received another massive boost on Tuesday when investment fund 777 Partners ordered up to 66 of the MAX passenger planes, totaling $8 billion.

It also sealed a $1.5 billion deal with leasing company AerCap for five more 787 Dreamliner jets.

Customers are expected to receive a discount on the list price, as is traditional with large orders.

– Emissions –

Wheeldon voiced caution about the post-Covid recovery, despite growing industry-wide optimism about the prospects at the airshow.

“There will be more orders, but none of this indicates that the industry itself is moving forward,” added Wheeldon.

“Ticket prices have risen sharply and the planes are far from full. The lack of staff and other skills continues to have an impact and there are no quick fixes.

“This is an industry that has been in turmoil because of Covid, but also knows that pressures from other factors such as climate change and rising costs are not easy to solve.”

Aviation analyst John Strickland said Farnborough’s latest issue – the first since 2018 – is not “flush” with orders.

But “it marks a moment of rehabilitation for Boeing,” he added.

Farnborough is partially focusing this year on the themes of decarbonisation and sustainability in a sector often criticized for its impact on emissions and climate change.

The UK government has launched a new ‘Jet Zero’ strategy, vowing emissions from aviation should not return to pre-Covid levels.

The plan, unveiled by Transport Secretary Grant Shapps at Farnborough, envisions UK domestic aviation and airports achieving net-zero carbon emissions by 2040.

However, environmental campaign group Greenpeace has criticized the strategy as a short-term move that shifts responsibility away from government.

Emily Armistead, Greenpeace UK program director, dismissed the plan as “vague pushes for technological innovation” that would not deliver emissions cuts in the short to medium term.

She accused the government of not having the courage to regulate emissions from aviation.

“This is not a plan, just a delaying tactic and a very expensive waste of time,” she added.

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