Bloomberg News reports Chinese airlines are negotiating to purchase between 300 and 500 Airbus jets which might be announced during European leaders’ visit to Beijing in the upcoming month. The aircraft order could expand to 500 units because China maintained a policy of delaying major purchases during the past years.
The current negotiations stem from previous discussions which took place before Chinese President Xi Jinping visited France during the previous year. The sources warn that Chinese diplomatic jet orders during state visits frequently reach critical stages before deals become final.
The reported Airbus order would serve as a major advantage for the European planemaker because it would help the company compete against Boeing to supply aircraft to China’s expanding aviation industry. The pandemic restrictions and trade tensions have created a major aircraft shortage for Chinese airlines according to industry analysts.
A successful agreement would create mutual diplomatic advantages between the two parties despite their existing trade disputes. The final outcome of the deal faces potential challenges because China maintains a complex approval process and ongoing trade uncertainties.
