Page 11 - AAA JUNE - JULY 2017 Online Magazine

SPECIAL REPORT PARIS AIRSHOW

LeFt: Airbus has accelerated
deliveries of the A320neo and
Indian LCC IndiGo which was
the first operator of the type
has reported a fuel efficiency
improvement of 15 percent as
compared to its A320 Classics

rigHt: Airbus expects 50 percent
of its NEO deliveries to be for the
A321. The A321neo is also two
meters longer than the 737MAX-
9, which allows it to have two more
rows of seats

and some large order cancellations, Corp said at a ceremony in Shanghai the says it believes that Airbus has a “modest
have prompted a pull-back on confident venture would aim to build a “competitive advantage over Boeing in narrow-bodies”
production expansions planned by regional long range wide-body commercial aircraft”. which results from the fact that the A321neo
aircraft makers outlined just a few years ago,” First announced in 2014, the two companies is two meters longer than the 737MAX-9,
CoA said. “Turboprop sales boomed when oil have set up a joint venture in Shanghai. A enabling it to have two more rows of seats.
prices peaked, but demand has dried up over mock-up of the basic version of the jet has In a twist, it says “for airlines that can fill a
the past two years and backlogs are falling been unveiled that would have a range of up larger narrow-body, this means that the seat-
again. ATR’s firm order backlog is solid out to 12,000 kilometers (7,500 miles) and seat mile economics are better for the A321. But,
to 2019 at current production rates, and the 280 passengers. The design is pitched at the for airlines in the more traditional part of
company is waiting on some large orders. A350 and 787 and UAC President Yuri Slyusar the narrow-body market (150-170 seats), the
Bombardier’s Q400 backlog is less than a said the firms hoped to secure 10 per cent of 737MAX-8 is more attractive than the A320.
third of ATR’s and even at reduced rates, the the market. First flight and deliveries are set This is because the MAX-8 is two meters
backlog is now equivalent to less than two for the second half of the next decade. longer than the A320neo and, hence, can
years’ production. Regional jet markets are handle two more rows of seats.”
firmer, particularly the C Series and the E-Jet The Next Big Thing Bernstein notes that A321 was much
E-2 families.” Possibly of greatest interest is the so-called less of a threat to Boeing with the previous
Bombardier had two marquee orders in middle of the market segment (MOM) that engines (A321ceo) because it was short on
2016, (Delta and Air Canada) pushing the C Boeing is mulling to combat the A320neo. range but the A321neo “is a very competitive
Series backlog past 350 aircraft, although Will it be a 737-styled response or more a 787 airplane.” While it is true as Boeing argues that
upwards of 80 orders still have question type or a combination of both? Wall Street it is better-positioned than Airbus because
marks over them claims CoA. “Meanwhile, analysts Berstein suggest the 737 MAX10 the 737MAX-8 / A320-size airplane is “the
Embraer continues to accumulate small is a near certainty at least. In its May 15 heart of the market,” more and more airlines
E-Jet E2 orders, taking the backlog for the report Airbus, Boeing: Critical issues, part 2 do require a higher capacity aircraft for some
updated aircraft to nearly 400.” Away from -The products; Middle of Market? A321neo routes and times of the day. In fact, Airbus
the traditional manufacturers, flight testing versus MAX? Engine challenges; A330neo expects 50 per cent of its deliveries to move
of the Chinese C919 is underway and the it says, “although Boeing has not formally to this larger size variant and if that is the
Russian Irkut MC-21 has just completed its launched the MAX-10 stretch version of its case Boeing has a problem says Bernstein.
maiden flight. China and Russia recently narrowbody family, we believe the launch is “We believe that Boeing has come to the
announced their collaboration on a new likely once customer orders are confirmed.” realisation that the A321neo is a problem for
US$15 billion medium range widebody It raises an interesting dynamic that while them, which has led to Boeing’s move to the
programme. Reuters reported on May 23 both manufacturers are booked out for the MAX-10, which adds just under two meters to
that state plane makers Commercial Aircraft next five years “there are real questions in the 737MAX-9. We think this stretch largely
Corp of China and Russia’s United Aircraft market shares beyond that point.” Bernstein neutralizes the advantage of the A321neo
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