CFM International signs three contracts for $9 billion in China
Beijing - On the occasion of French President Emmanuel Macron's visit to China, the engine manufacturer CFM International signed contracts with three Chinese companies.
The orders and long-term service contracts cover nearly 500 engines and represent an estimated $ 9.1 billion.
Spring Airlines finalized a memorandum of understanding that had been announced by CFM International at the Paris Air Show 2017. The contract covers 120 LEAP-1A engines to power 60 A320neo. CFM will provide support for the engine fleet for ten years. The total amount of the agreement is estimated $ 2.9 billion.
Hainan Airlines, a subsidiary of HNA Group, has signed a Memorandum of Understanding that worth $4.2 billion covering new engines and a long-term service contract. The deal includes LEAP-1A engines for 55 Airbus A320neo.
The majority of Hainan Airlines' fleet is powered by CFM engines,said Chen Feng, the president of HNA group.
Another Chinese carrier, Xiamen Airlines has signed a Memorandum of Understanding of $2.05 billion including installed and replacement engines, as well as a long-term service contract. The company's fleet based at Xiamen-Gaoqi Airport consists entirely of Boeing.
The visit of the French President was an opportunity to finalize these contractsPhilippe Petitcolin, CEO of Safran, says on behalf of CFM.
Our relationship with the Chinese aviation industry goes back more than 30 years, not only with the airlines but also with a large group of suppliers. These new agreements reinforce our commitment to China and our relations with our Chinese customers, with whom we hope even greater cooperation in the future,the manager adds.