Boeing gets $20.7 billion deal for 737 Max
Oct. 25, 2013, Chicago, Il. - Boeing has won several commitments worth $20.7 billion for nearly 200 737 Max jets from several Chinese airline customers, including state-owned carriers.
The new deals for the upgraded version of Boeing's short-haul aircraft are pending approval from the Chinese Government, when the customers will be revealed, Reuters reported citing undisclosed sources.
These orders mark the first commitments for the 737 Max aircraft from China, have been received through China's national procurement agency, China Aviation Supplies Holding Company, and leasing firms associated with the banks in the country.
Commitments come from a range of customers, including state-owned airlines via the national procurement agency, China Aviation Supplies Holding Company, as well as leasing firms associated with the country's banks, the sources said.
Several Chinese airlines, including Air China, China Eastern Airlines and China Southern Airlines, already operate the current variants of the 737 family.
Boeing's fuel-efficient 737 Max is powered with new CFM Leap engines, and competes with Airbus's A320 neo aircraft, the re-engined version of its single-aisle aircraft.
Boeing estimates that China will take delivery of 3,900 single-aisle jets in the coming two decades, Reuters reported.
Meanwhile, China is developing its own single-aisle aircraft, the Commercial Aircraft Corp of China (Comac) C919, to compete with A320 and 737 aircraft.
The first flight schedule for Comac C919 has been postponed to 2015, and the deliveries are not expected to begin until a few years after the maiden flight.