China’s national carrier Air China has finalized an agreement with European aircraft manufacturer Airbus to purchase 60 A320neo aircraft, in a deal valued at around $9.5 billion based on list prices.
The agreement, signed by Air China and one of its subsidiaries, adds momentum to a wave of aircraft orders announced this week by Chinese airlines, including low-cost carrier Spring Airlines and full-service operator Juneyao Airlines, highlighting renewed expansion in the world’s second-largest aviation market.
According to a filing submitted to the Shanghai Stock Exchange, the aircraft will be delivered in phases between 2028 and 2032, allowing the airline to gradually expand and modernize its narrow-body fleet.
Airbus welcomed the decision, saying it was “very pleased” that Air China had chosen to add more aircraft from the A320 family, one of the manufacturer’s most popular and fuel-efficient models.
Aviation analyst Li Hanming said the order falls under a broader 2022 framework agreement between Airbus and China Aviation Supplies Holding Company (CASC). That deal covered 132 A320-family jets and eight A350 widebody aircraft, with a combined value of approximately $17 billion.
“Large framework agreements are typically followed by individual contracts over time,” Li noted, explaining the delay between the initial deal and the latest purchase.
The latest order further strengthens Airbus’s position in China at a time when prolonged political tensions between Beijing and Washington have limited opportunities for its U.S. rival Boeing to secure new aircraft orders in the Chinese market.
