China Airlines Ltd (CAL, 中華航空) is choosing between Boeing Co’s yet-to-be certified 777X and the largest variant of Airbus SE’s A350 as it looks to retire existing long-haul jets, its president Kao Shing-hwang (高星潢) said.
“We are looking for a new fleet” to replace the 10 Boeing 777-300ERs it currently operates, Kao told Bloomberg Television in an interview.
Taiwan’s main airline is exploring Boeing’s upgraded 777 or the Airbus A350-1000, Kao said, without specifying a timetable for the upgrade.
Photo: CNA
Boeing previously won a deal for 16 787-9 Dreamliners from the airline. At the Paris Air Show in June, it ordered eight more jets, and converted six to larger high-capacity planes.
The US planemaker could do with a boost to a sluggish order book for its delayed 777X flagship jet, even as its smaller 787 remains popular.
Meanwhile, Airbus has continued to pick up a steady stream of orders for its largest twin-aisle aircraft, most recently from Qantas Airways Ltd.
Kao said the company would have a better sense of the required units once the number of 787-10s is decided.
The airline operates more than 85 aircraft, including 23 freighter jets.
China Airlines’ 10 777-300ERs average about 8.3 years in age. It also flies the Airbus A350-900.
The government-backed company has benefited from higher fares as air travel comes back.
Kao said he predicts that ticket prices would continue to rise, not least as charges mount for more sustainable flying.
China Airlines competes against two other Taiwanese carriers, EVA Airways Corp (長榮航空) and Starlux Airlines Co (星宇航空), in an increasingly competitive aviation market vying for regional and long-haul travelers. It also controls Taiwan’s only budget carrier, Tigerair Taiwan Ltd (台灣虎航), which recently completed an initial public offering.
The carrier was among a few around the world that remained profitable during the COVID-19 pandemic. Revenue last year was just shy of its pre-pandemic levels, driven by strong air cargo sales.
Passenger flights still remain at about half of 2019 levels, and the company does not expect to return to normal until 2025, Kao said.
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