Farnborough airshow ends with $192bn in orders

Boeing announced 676 orders, while Airbus unveiled 431 orders - a jump of more than 50 percent compared to 2016
Visitors watch as a Boeing 737 Max lands after an air display during the Farnborough Airshow, south west of London, on July 16, 2018.
By AFP
Sun 22 Jul 2018 09:16 AM

England's Farnborough airshow this week saw deals worth $192 billion (164 billion euros), a jump of more than 50 percent compared to 2016, in a sign of "confidence in global trade", organisers said Saturday.

The biannual air industry gathering recorded more than 1,400 commercial aircraft orders, valued at $154 billion, alongside at least 1,432 deals for engines worth $21.96 billion.

The total is an increase of $67.5 billion on the last airshow two years ago, with the mile-high rivalry between Boeing and Airbus -- who made the majority of plane orders -- swelling sales.

US aviation giant Boeing announced 676 orders, totalling $92 billion at list prices, as of Thursday, while its European competitor had unveiled 431 orders worth $70 billion.

"The major deals announced this week demonstrate how confident the aerospace industry is and the role of Farnborough as an economic barometer," said Farnborough International chief executive Gareth Rogers.

The show attracted its most global attendance ever with around 100 countries represented and a record Chinese presence, Farnborough said in a statement.

There was also a near-10 percent rise in trade visitors compared to previous years, with more than 80,000 visitors passing through the gates, it added.

Here is a rundown of some of the biggest contracts announced at Farnborough, southwest of London, one of the world's largest aerospace fairs along with Paris and Dubai.

Boeing, the US giant

The US group won orders totalling $92 billion at list prices.

- Vietnamese low-cost airline VietJet signed a memorandum of understanding for 80 of Boeing's shorter range 737 MAX 10 model, and 20 737 MAX 8s, for a listed total of $12.7 billion.

- India's Jet Airways ordered 75 737 MAX 8s, worth $8.8 billion.

- Delivery company DHL made a firm order for 14 of Boeing's 777 freighters worth $4.7 billion, and placed an option for another seven of the long-haul planes.

- Leasing company Jackson Square Aviation ordered 30 examples of the 737 MAX 8, worth $3.5 billion.

- Hawaiian Airlines said it was buying 10 of Boeing's long-haul 787-9 planes, at $2.82 billion. That was particularly sweet for Boeing, as Hawaiian had previously agreed to go with an Airbus purchase.

Airbus, the European heavyweight

The pan-European group's Farnborough orders came to $70 billion at list prices.

- Malaysian budget airline AirAsia, which wants to expand its long-haul operation to Europe, announced an additional order of 34 Airbus A330neo planes worth $10 billion.

- On top of its Boeing deal, VietJet ordered 50 A321neo planes worth $6.5 billion.

- New Taiwanese airline Starlux signed a memorandum of understanding for 17 A350s listed at $6 billion.

- India's Vistara sealed a letter of intent for 13 A320neo planes. With agreement for another 37 of the planes from leasing operations, the total contract comes to $5.5 billion.

- US airline JetBlue is buying 60 A220-300s listed as worth $5.4 billion. It was the first contract since the model was rechristened by Airbus after it took a majority stake in Canadian company Bombardier's C-series family.

- Sichuan Airlines of China confirmed a previous memorandum for the purchase of 10 long-range A350s worth $2.8 billion.

In addition, both Boeing and Airbus signed billions more in deals with customers that preferred to remain anonymous for now.

(All orders were given at catalogue prices, although airlines and cargo operators typically win discounts for large purchases)

New flag carrier

Among other Farnborough news, the Nigerian government launched plans to create a new flag carrier airline called Nigeria Air by the end of this year.

The government said it was in talks with both Airbus and Boeing and would make announcements about the new carrier's fleet "very soon".

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Last Updated: Sun 22 Jul 2018 11:33 AM GST

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