Airbus secures multi-billion-dollar order for 25 A330neos from China Eastern Airlines
The French manufacturing giant Airbus has secured a deal with China Eastern Airlines for 25 of its next-generation A330neo aircraft. The deal has a catalogue price of around $9.4 billion and will enable the Chinese carrier to expand its international network.
The agreement was signed in Shanghai on Friday, 26 June, according to a Reuters report, with deliveries in batches expected to begin in 2029. This latest deal follows an agreement the Chinese carrier made with Airbus in March for 101 A320neo family aircraft.
While the catalogue list price values the order at US$9.35 billion, China Eastern expects the actual transaction price to be lower.
With the airline looking to expand its international footprint, the widebody jets will primarily be deployed from Shanghai Pudong Airport, from where they will serve long-haul flights on both existing and new routes.
Why Airbus wants to expand its footprint in China
Recognising China as the second-largest aviation market globally, this latest order aligns with Airbus’ efforts to step up its presence in the region. The OEM entered the Chinese market nearly 40 years ago, in 1985, when the first A310 was delivered to China Eastern Airlines. Passenger traffic is expected to grow by around 5% annually over the next two decades, according to the International Air Transport Association (IATA).
This growth will lead to demand for 8,420 passenger and freighter aircraft between now and 2041, representing more than 20% of the world’s total aircraft demand over the next 20 years.
During a 2023 French state visit to China, Airbus signed new cooperation agreements with China’s aviation industry partners. Speaking at the time, Airbus CEO Guillaume Faury said that his company’s long-standing cooperation with China’s civil aviation sector “underpins the positive recovery momentum and prosperous outlook for the Chinese aviation market.”
He also commented that Airbus values its partnerships with Chinese aviation stakeholders and “is privileged to remain a partner of choice in shaping the future of civil aviation in China.”
Airbus’ first aircraft assembly outside Europe was built in China
The European planemaker built its first aircraft assembly facility outside Europe in Tianjin in 2008, marking a major step in its global expansion. A joint venture between Airbus and Chinese aviation partners, it primarily assembles aircraft from the A320 family. A second assembly line has since been added to increase production capacity and meet growing demand in the region, particularly from Chinese-based carriers.
Airbus has marked several recent successes with Chinese carriers. In December, flag carrier Air China announced an agreement with Airbus to supply 60 A320neo aircraft worth US$9.5 billion, bolstering its short-haul fleet. Meanwhile, low-cost carrier Spring Airlines said at the end of last year that it also planned to buy 30 A320neo-family aircraft. Juneyao Airlines also outlined its plans to acquire 25 A320s with deliveries scheduled between 2028 and 2032.
China Eastern Airlines already operates a substantial fleet of Airbus widebodies. It is currently flying 30 A330-200s, 26 A330-300s, and 20 A350-900s. The carrier also operates 31 A319s, 257 A320s and 101 A321s.
Why the A330neo is the right choice for China Eastern Airlines
China Eastern already operates a large A330 fleet, so the A330neo provides the same pilot type rating, shared maintenance infrastructure, and engineering support. Powered by new Rolls-Royce Trent 7000 engines, it offers 14% lower fuel burn per seat than the older A330ceo.
The aircraft type will be suitable for deployment across medium-haul routes from China to Southeast Asia, the Middle East, as well as on long-haul routes between China and European cities such as London, Paris, and Rome. With a passenger seating capacity of around 260-300 seats, depending on the configuration, the A330neo is also more economical than flying a larger A350 on weaker-demand routes.
Featured image: Airbus
