Airbus scoops orders as Boeing flounders after fatal 737 Max crashes
EUROPEAN aircraft manufacturer Airbus has received orders in Asia for 350 planes since August, while rival Boeing has received orders or commitments for only 16 jets over the past three months as the US plane maker struggles to deal with the fallout of two fatal crashes involving the 737 Max that claimed 346 lives
EUROPEAN aircraft manufacturer Airbus has received orders in Asia for 350 planes since August, while rival Boeing has received orders or commitments for only 16 jets over the past three months as the US plane maker struggles to deal with the fallout of two fatal crashes involving the 737 Max that claimed 346 lives.
A big win for Airbus came last month, when Indian budget airline IndiGo ordered 300 narrow-body aircraft in a deal worth $33 billion at list prices. VietJet Aviation JSC and Cebu Air also confirmed purchases in recent days, reported Bloomberg.
The Airbus orders are for A320neo and wide-body A330neo aircraft, while Boeing's are for twin-aisle 787s and 777 freighters.
Boeing has been upgrading software on the 737 Max, but it remains unclear when it will be granted permission to fly again. In an October 29 article in USA Today, the US Federal Aviation Administration's Steve Dickson reiterated that the agency is addressing crash investigator recommendations and won't be hurried as to 'when, whether or how the 737 Max will return to service.'
Airbus has had its fair share of problems too. India is threatening to ground A320neo jets operated by IndiGo unless the airline gets fixes for its Pratt & Whitney engines by January 31. IndiGo, which has 100 A320neo-family jets, said last week it will work with the engine maker and Airbus so it has enough modified spare turbines to meet the requirement.
Airbus also cut its full-year delivery target and said cash flow will be lower than expected as production challenges slow output of A320neos. Chief executive officer Guillaume Faury said US import duties on foreign-built Airbus jets will become tougher to manage next year. He suggested that a World Trade Organisation ruling allowing the European Union to impose similar measures on Boeing would help level the playing field.
Historically, Airbus is still behind Boeing in deliveries of aircraft to Asia Pacific customers, with a total of 3,312 versus 5,045 for the US manufacturer.