The Airbus boss didn’t make the trip to China with Emmanuel Macron for nothing. If the aircraft manufacturer has not signed new orders (a contract has been signed for 160 aircraft already registered in its order book), it announces the installation of a second final assembly line for its single-aisle A320 and A321 at its headquarters in Tianjin (north of ).
This is an important announcement. By doubling its aircraft production capacity on Chinese soil, the manufacturer is closing in on the colossal demand for new planes from Chinese airlines.
Need for 8,500 devices in the next 20 years
While still sluggish due to covid-related travel restrictions (which have just been lifted), China accounts for 20% of global air traffic and is growing at over 5% per year. Airbus thus evokes the need for 8,500 aircraft over the next 20 years.
Air China, China Eastern, China Southern and Shenzhen Airlines last year announced a mega order for 292 A320s, Xiamen Airlines another for 40 A320s.
At the same time, this new production line will allow Airbus to accelerate its international deliveries (7,300 expected this year) while the manufacturer faced difficulties in its supply chain in 2022.
Problems that made him lose his annual delivery targets, a thorn in the side when companies are mostly in the logic of fleet renewals.
Shocks that weigh a lot
With this new unit, the total rate may increase to 75 A320 and A321 produced per month by 2026 from 43 per month in 2022, Airbus says.
The rise of Airbus will corner its American rival Boeing a bit more in China. As AFP recalls, Boeing’s deliveries to China have plummeted since 2019. It only delivered 12 aircraft to Chinese companies and lessors in 2022, compared to 95 for Airbus.
A drop that is explained by the conflictive relations between Beijing and Washington, it should be remembered that aircraft purchases in China go through state structures. The situation has become even more tense after last year’s fatal crash of a Boeing 737-800, China’s worst civil aviation disaster. with 132 victims.
The 737 MAX was also grounded for nearly three years after two crashes that killed hundreds. However, a ray of hope for the American giant: a Chinese company blew up the device again in January.
Airbus’s beautiful trajectory in China can only be thwarted in the end by a single player: the domestic manufacturer Comac, which is intent on accelerating.
The C919, the first Chinese-made medium-haul aircraft, is indeed the country’s trump card to counter the Airbus A320 family. While it has yet to receive clearance to fly from European and US regulators, it should have a strong presence in China’s domestic skies.
The Comac Threat
The figures are difficult to verify, but companies in the country have already ordered between 300 and 800 units of this C919. “They have a somewhat captive market where they can start selling, putting these aircraft into service and that is why we are going to observe very carefully what is happening with Comac”, Guillaume Faury stressed in another part of BFM Business.
If the C919 proves its worth and if Comac can deliver correctly, the plane could limit Airbus’s ambitions in China. This device is largely made up of western parts, including its motors. But the authorities intend to make it a device independent of any Western technology.
Source: BFM TV
