US aerospace giant Boeing fired the first shot in a contract battle with European rival Airbus at the Farnborough Airshow on Monday, agreeing to a $13.5 billion deal for 100 MAX aircraft from Delta Airlines in a huge vote of confidence in the of of the crisis-affected jet completed.
The deal marks a major reversal for the MAX jet, which suffered two fatal crashes in 2018 and 2019.
Outgoing British Prime Minister Boris Johnson, meanwhile, opened the prestigious five-day event as the aviation sector plans its recovery from the severe impact of Covid.
US carrier Delta has placed its first-ever order for mid-range MAX aircraft with options for 30 more of the more fuel-efficient aircraft to replace its aging fleet and reduce harmful emissions.
Boeing also revealed that Japanese airline ANA had agreed to buy 20 of its smaller MAX 8 jets in a deal worth $2.4 billion, along with two 777-8 freighters.
– ‘More sustainable future’ –
“The Boeing 737-10 will be an important addition to the Delta fleet as we shape a more sustainable future for air travel, with a better customer experience, improved fuel efficiency and best-in-class performance,” said Ed Bastian, Delta chief executive.
The news comes as airlines around the world seek to replace aging fleets with fuel-efficient planes that emit less carbon.
Meanwhile, first visitors to Farnborough, south west of London, have been hit by searing temperatures amid the ongoing heatwave in Europe.
Defense aerospace companies are also expected to emerge as big winners as Russia’s invasion of Ukraine boosts spending on nations’ armed forces.
Russian companies were banned from Farnborough because of the war.
The event coincides with fast-paced political unrest in the UK after Johnson recently announced he will step down as leader of the Conservative Party, sparking fierce competition to replace him as Prime Minister as well.
– ‘Pass control’ –
“This administration believes in aviation and its power to bring jobs and growth across the country,” Johnson said Monday at the opening of the event.
“After three years in the cockpit… I’m handing the wheel seamlessly over to someone else.
Johnson also said the government is “investing heavily in defense.”
This year’s event – one of the world’s largest civil and defense shows – is the first global aviation gathering since the Paris Air Show in 2019, before Covid hit.
Farnborough was canceled in 2020 as the Covid health crisis grounded planes and devastated the sector.
Global air travel is gradually recovering, reaching more than two-thirds of its pre-pandemic levels in May, according to the International Air Transport Association.
That recovery, however, faced headwinds from skyrocketing inflation, fueled by historically high energy prices and higher wages, while staff shortages constrained airports and sparked flight cancellations.
– Air Shows –
Ahead of the event, Britain issued a historic red warning for extreme heat, with temperatures in southern England potentially topping 40C for the first time on Monday or Tuesday.
Visitors to Farnborough will see flight displays by Britain’s Red Arrows and South Korea’s Black Eagles, as well as the US-made F-35 stealth fighter.
Airbus and Boeing present their latest twin-aisle passenger aircraft, the A350-900 and the 777X.
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