Air China and its subsidiary Shenzhen Airlines announced Friday that they will purchase 55 Airbus aircraft for a total list price of $12.4 billion as China’s flagship carrier seeks to expand capacity and update its fleet with more fuel-efficient planes.
The order comes as Chinese carriers continue rebuilding and expanding their fleets after the pandemic.
Air China has agreed to purchase 15 A350-900 wide-body jets, and Shenzhen Airlines plans to buy 40 narrow-body A320neo-family aircraft, according to a filing with the Shanghai stock exchange.
The A350-900 jets, valued at approximately $6.09 billion based on Airbus’s January 2025 list prices, are scheduled for delivery between 2030 and 2032. The 40 A320neo family aircraft, with an estimated worth of about $6.35 billion based on January 2024 list prices, are expected to be delivered between 2029 and 2032.
Air China stated in its filing that the actual transaction prices will be lower than the listed amounts, with Airbus offering substantial discounts. Both airlines will finance the purchases through a mix of their own funds, commercial bank loans, and other financing options.
The A320neo family competes with the Boeing 737 MAX for medium-haul flights, while the A350-900 is primarily used on long-haul international routes.
Air China stock fell 1% following the announcement.
By CEO NA Editorial Staff
