Australian airline Qantas announced, Thursday, its decision to replace Boeing aircraft in its fleet with other Airbus aircraft. The deal is a major victory for the European aircraft manufacturer and a blow to its North American rival. The airline has selected the Airbus A320neo and Airbus A220 families as the aircraft of choice for the long-term renewal of its national narrow-body fleet and agreed to purchase 40 Airbus aircraft, with an option to purchase another 94.
Airbus is expected to commit to 40 aircraft, 20 of the A321XLR (Extra Long Range) and several A220s at the end of fiscal year 22, following discussions with employees about operating arrangements for the new types of aircraft and a final decision by Airbus, the company explained Thursday.
Qantas will also have 94 other aircraft purchase options Over a 10-year delivery period as its current Boeing 737-800 and 717 aircraft were phased out.
This order comes in addition to Jetstar’s existing agreement with Airbus to purchase more than 100 aircraft of the A320neo family. Part of this new agreement involves combining these two orders so that the group can use a total of 299 deliveries in the A320 and A220 families as needed over the next decade and beyond for Qantas, QantasLink and Jetstar.
Once this process is complete, it will represent The largest aircraft order in Australian aviation history. The financial details of the deal are a business confidentiality, but it does represent a significant discount from the list price.
Thursday’s announcement follows a detailed review by the company’s engineering, flight operations, customer experience, network, fleet acquisition and financing teams. The company conducted a detailed evaluation of the A320neo and B737 MAX families, as well as the smaller A220 and Embraer E190/195-E2 families.
The company’s initial order focuses on the larger single-aisle A321XLR and A220-300 Mid-size with correct purchase options for the smaller A220-100, giving Qantas a fleet mix that can offer better network options and route economy.
The XLR can carry about 15% more passengers per flight than the current B737-800, making it well-suited for busy routes between capital cities such as Melbourne, Sydney and Brisbane. Its greater reach means it can also be used to unlock new city pairs.
The small and medium-sized A220 aircraft give the group flexibility to deploy these aircraft In most of its national and regional operations. They can be used during off-peak times between major cities and on major regional roads to increase frequency.
Both types of aircraft will be powered by Pratt & Whitney GTF engines and will achieve fuel savings of between 15% and 20%, which will contribute to the airline’s broader efforts to reduce emissions.
Qantas Group CEO Alan Joyce said the airline has contacted Renewing its national fleet Project Winton honors the city where the national airline was born 101 years ago, as it is a key strategic decision for the future of local Qantas. “This is a long-term renewal plan with deliveries and payments spread out over the next decade and beyond, but the same long lead time for aircraft orders means we have to make those decisions now.”
“Qantas is in a position to make these commitments because of the way we have gone through the pandemic, and it is something that is up to the entire organization. This is a clear sign of our confidence in the future. We price in advance of what is likely to be a massive increase in demand for the next generation of narrow-body aircraft. This is good news for our customers, employees and shareholders. We will have discussions with our people to make sure we have the arrangements in place to support such a huge investment.”
“I must thank Airbus, Boeing, Embraer and the engine manufacturers for their efforts in this process. This was a very difficult decision. Each option meets our core requirements of safety, capacity and emissions reduction. But when multiplied by even the smallest benefits in areas such as range or cost across many aircraft And for 20 years you will be in the fleet, Airbus was the right choice as the preferred exhibitorJoyce added.
He added: “The Airbus deal has the added advantage of providing continued flexibility in demand, which means we can continue to choose between the A320neo and A220 families based on our changing needs for years to come. The ability to combine the Jetstar and Qantas arrangement of the A320 was a factor as well. The A320 will be new to local Qantas, but we already know it’s a great aircraft because it has been the backbone of Jetstar’s success for over 15 years, most recently in the resource industry in Western Australia.
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