BEIJING: China Eastern Airlines said on Wednesday it has signed a $15.8 billion deal to buy 101 Airbus A320neo planes, after Germany’s leader signalled during a China visit last month that a purchase had been secured.
Several Western governments have been seeking to boost trade ties with Beijing following sweeping global tariffs imposed last year by US President Donald Trump.
China is a key export market for European aircraft, machinery and cars.
Shanghai-based China Eastern, primarily owned by the Chinese government through its parent company, is one of the three largest Chinese airlines.
The Airbus aircraft are set to be delivered in batches from 2028 to 2032, according to a statement filed on the Shanghai Stock Exchange.
China Eastern said it signed the deal with Airbus, Europe’s largest aerospace company, in Shanghai.
The airline said its purchase was “driven by belief in the future of (China’s) civil aviation industry”.
“The company needs to plan for and reserve fleet capacity,” it added.
The 101 planes from the A320neo series also include the models A321neo and A321XLR, the company said, in a deal totalling “approximately US$15.802 billion”, the airline said.
“The specific delivery schedule may be adjusted based on actual circumstances, subject to mutual agreement between both parties,” the statement said.
China Eastern said the aircraft were largely discounted.
“Following multiple rounds of commercial negotiations, the actual price of the aircraft transaction reached through negotiations between the Company and Airbus was significantly lower than the standard list price”, the statement said.
The transaction is not effective until “approval by the relevant national departments”, it added.
German Chancellor Friedrich Merz said in February when he visited for talks with President Xi Jinping that China had agreed to buy up to 120 additional Airbus aircraft, without specifying when those purchases would take place.
The latest Airbus deal follows a raft of orders announced by other Chinese firms at the end of last year.
Air China, Shanghai-based Juneyao Airlines and Spring Airlines, as well as Hong Kong-listed China Aircraft Leasing Group Holdings (CALC) announced purchases totalling around 150 jets.
Airbus has yet to publicly comment on the China Eastern deal.
