© Reuters. FILE PHOTO: Airbus A220 jets of Swiss Airways are seen at Zurich airport in Zurich, Switzerland October 16, 2019. REUTERS/Arnd Wiegmann/File Picture
By Tim Hepher
PARIS (Reuters) -Airbus is just not seeking to launch a stretched model of its A220 jetliner within the present surroundings, the planemaker stated on Wednesday, successfully pulling down hypothesis of a launch on the upcoming Paris Airshow.
A bigger model of the 110-130-seat small passenger airplane has been on the horizon for a while and an Airbus spokesperson reiterated that it was a matter of “when not if”.
“However proper now, the A220-100 and A220-300 are precedence and we’re not seeking to launch a brand new variant within the present surroundings,” the spokesperson added.
Airbus Chief Government Guillaume Faury has indicated that resolving latest industrial delays is the planemaker’s prime precedence amid continued stress on the availability chain.
Hypothesis of an imminent launch circulated on Wednesday after some media highlighted a Financial institution of America (NYSE:) word suggesting Airbus would launch the so-called A220-500 model on the June 19-25 occasion exterior Paris.
Two trade sources dominated out an air present announcement.
A bigger model of the loss-making A220 program, acquired from Canada’s Bombardier (OTC:) in 2018, would permit Airbus to renegotiate provider contracts and decrease general manufacturing prices per plane, which have saved the enterprise within the crimson.
It could additionally mount a problem to the Boeing (NYSE:) 737 MAX 8.
However it could eat right into a market at present served by the 150-seat A320neo, a core a part of Airbus’s narrow-body household that generates many of the planemaking big’s income.
Airbus expects most demand for narrow-body jets emigrate upwards to the bigger A321neo measurement, the place it’s already outselling the biggest fashions of the Boeing 737 MAX.
Most trade sources count on an A220-500 launch to be nearer to the center of the last decade, with the jet getting into service round 2030 and probably boasting new wings and engines.
Such of venture would have wider implications on the principle battlefront for gross sales between Airbus and Boeing.
It might herald an eventual splitting of the narrow-body market into two as Airbus replaces the A320neo first and addresses a alternative for the bigger A321neo at a later stage with newer know-how, in response to trade analysts.
Such a call might nonetheless erode the compatibility which is seen as a key promoting level of narrow-body jets.
Airbus has recommended a brand new A220 model might additionally open up a selection of engines. It instructed The Air Present final yr it could welcome presents from Basic Electrical/Safran joint-venture CFM Worldwide along with present provider Pratt & Whitney.
Read the full article here
Discussion about this post