China commits to 300 Boeing jets valued at $37 billion

China commits to 300 Boeing jets valued at $37 billion

Sales announced during presidential trade mission; $7.4 billion deal from Paris also finalized.

November 10, 2017
Edited by Eric Brothers

CDB Aviation has finalized an order for 42 737 MAX 8s, 10 737 MAX 10s, and eight 787-9 Dreamliners.

Boeing and China Aviation Suppliers Holding Co. (CASC) officials signed an agreement for 300 airplanes during a ceremony in Beijing in the presence of U.S. President Donald Trump and China President Xi Jinping.

The agreement includes orders and commitments for 300 Boeing single-aisle and twin-aisle airplanes. The airplanes are valued at more than $37 billion at list prices.

$7.4 billion Paris deal confirmed
Additionally, Boeing officials and representatives from CDB Aviation – a wholly owned Irish subsidiary of China Development Bank Financial Leasing Co., Ltd. – finalized an order for 42 737 MAX 8s, 10 737 MAX 10s, and eight 787-9 Dreamliners. The order, valued at $7.4 billion at current list prices, was announced as a memorandum of understanding (MOU) at the 2017 Paris Air Show. The order includes a conversion of six 737 MAX 8 orders to the 737 MAX 10.

China Development Bank, under the direct jurisdiction of the State Council of China, is the world's largest development finance institution. It is also the largest Chinese bank for foreign investment and financing cooperation, long-term lending, and bond issuance, enjoying Chinese sovereign credit rating.

CDB Aviation, one of the largest and most influential Chinese-owned aviation leasing companies, is part of the launch customer group for the 737 MAX 10, the newest member of Boeing's 737 MAX family.

The CDB commitment pushes orders for the 737 MAX family to more than 4,000. Boeing has delivered more than 30 737 MAX airplanes this year.

GE to power Juneyao Airlines’ 787s
Also during U.S. President Donald Trump's visit to China, Juneyao Airlines, a subsidiary under Juneyao Group, reached an agreement with GE to order GEnx-1B engines to power its 10 Boeing 787-9 aircraft. The agreement was witnessed by U.S. President Trump and China President Xi Jinping. The engine order is valued at $1.4 billion at list prices and includes a 15-year TrueChoice Overhaul agreement with GE Aviation for the time and material to repair and overhaul these engines. The aircraft will begin delivery in 2018.

The newly purchased GEnx-1B-powered B787 fleet will be used on Juneyao Airlines’ Sino-U.S. international long-haul routes.

More than 1,600 GEnx-1B engines have been sold to 51 customers. The GEnx is part of GE's "ecomagination" product portfolio to enhance customers' environmental and operating performance.

GEnx's revenue-sharing participants are IHI Corp. of Japan, Volvo Aero of Sweden, MTU of Germany, TechSpace Aero (Safran) of Belgium, Safran Aircraft Engines of France, and Samsung Techwin of Korea.