Airline Plans $2 Billion Order for Airbus Aircraft

Airline Plans $2 Billion Order for Airbus Aircraft

Airbus is set to reinforce its strong market position following a successful 2025 Paris Air Show, with a significant new aircraft order reportedly exceeding $2 billion. The deal involves Taiwan’s flag carrier and SkyTeam member China Airlines, which is poised to acquire a mix of narrowbody and widebody jets from the European manufacturer. This development follows a recent Airbus order from fellow Taiwanese carrier Starlux Airlines, highlighting Airbus’s sustained appeal, particularly for its latest aircraft models.

Details of the China Airlines Order

According to Reuters, China Airlines is expected to purchase a total of 13 Airbus aircraft, comprising five widebody A350-900s and eight narrowbody A321neo jets. Of the A321neos, five will be acquired through Air Lease Corporation (ALC) for approximately $240 million, with negotiations ongoing for the remaining three. The five A350-900s are valued at up to $1.965 billion, although this figure could decrease to $1.148 billion if China Airlines opts to lease rather than purchase the aircraft outright.

China Airlines already operates both the A321neo and A350-900 models and has been recognized as an early adopter of Airbus’s advanced aviation technology. Benoît de Saint-Exupéry, Airbus Executive Vice President for Sales of Commercial Aircraft, remarked earlier this year that China Airlines has played a pioneering role in embracing cutting-edge technology, continuously enhancing its fleet to deliver superior efficiency and comfort on long-haul routes.

Market Dynamics and Competitive Landscape

The expansion of China Airlines’ Airbus fleet comes amid ongoing delays in the delivery of its Boeing 787 ‘Dreamliner’ orders, which include 18 787-9s and six 787-10s. These delays have compelled the airline to postpone the retirement of older aircraft. Earlier this year, China Airlines also finalized an order for 10 Airbus A350-1000s, intended for deployment on transcontinental routes to Europe and North America.

The broader market environment presents both opportunities and challenges for Airbus and its customers. Post-pandemic supply-chain disruptions continue to impact aircraft deliveries and maintenance schedules, as evidenced by issues faced by Air France Industries KLM Engineering & Maintenance. Furthermore, competition from Boeing remains intense, particularly if China proceeds with a substantial Airbus order, potentially altering regional market dynamics.

Responses from competitors are also evolving. Spirit Airlines, for example, has reportedly considered canceling or postponing Airbus orders in reaction to tariffs on European Union products. Meanwhile, Vietjet’s large-scale commitments—including 100 A321neo narrowbodies and additional A330neo widebodies—underscore Airbus’s robust market presence in the Asia-Pacific region.

Outlook

As Airbus secures major contracts across Asia, its capacity to manage supply-chain challenges and respond to competitive pressures will be critical. For China Airlines, the new order signifies a strategic fleet upgrade and a pragmatic response to delivery delays from rival manufacturers, reaffirming its commitment to modernizing operations with Airbus aircraft.