Wedoany.com Report-Nov. 17, Airbus, listed as AIR.PA, is positioned to secure the majority of a substantial aircraft order from flydubai during the Dubai Airshow, marking the first instance of the European manufacturer supplying this expanding low-cost airline previously aligned solely with Boeing. Sources close to the discussions shared this development on Sunday.

A general view from inside a bus of flydubai aircraft at Dubai International Airport, Dubai, United Arab Emirates November 17, 2023.

The agreement under negotiation involves Airbus providing around 100 A321neo aircraft to flydubai. Concurrently, the carrier is exploring an additional purchase of several dozen 737 MAX jets from Boeing, traded as BA.N.

The exact division of the order remains subject to final talks, which may extend until the conclusion of the event scheduled from November 17 to 21. Airbus' portion could exceed 100 units, depending on the outcome of these deliberations.

Representatives from Airbus and Boeing chose not to provide statements on the matter. Flydubai, currently operating or awaiting delivery of 175 MAX aircraft along with 30 Boeing 787 widebodies, has not yet replied to inquiries.

This potential transaction would enable Airbus to enter the fleet of a prominent operator of the 737 MAX series, which has historically sourced all its narrowbody jets from Boeing. Such a move would strengthen Airbus' position in the segment for high-capacity single-aisle aircraft.

Even with the new additions, flydubai's overall composition would maintain a degree of equilibrium due to its existing commitments with Boeing, according to the informed individuals.

The airline has indicated intentions to announce its most significant procurement to date, surpassing the 175 MAX units committed in 2017. Including potential options, the total access to new aircraft could reach several hundred through the current round of negotiations.

An earlier report on Friday suggested that Airbus would gain an initial portion of flydubai's requirements.

Stephanie Pope, CEO of Boeing Commercial Airplanes, stated on Sunday that the company's primary emphasis at the airshow would center on engaging with carriers regarding strategies for operational stabilization following recent challenges, rather than prioritizing the volume of new contracts.

Industry observers anticipate Airbus achieving notable successes at the Dubai gathering. A prior trip to the region by U.S. President Donald Trump in May facilitated the early revelation of several key Boeing commitments that are customarily presented at this Middle Eastern aviation forum.

The Dubai Airshow serves as a vital venue for manufacturers to display advancements and finalize deals with global operators. Flydubai's growth trajectory reflects increasing demand for efficient narrowbody aircraft suited to high-frequency routes and cost-effective operations.

The A321neo model offers enhanced range and passenger capacity compared to earlier variants, making it appealing for carriers expanding networks across regional and medium-haul sectors. Its selection by flydubai would diversify the airline's supplier base while leveraging proven technology.

Ongoing discussions involve detailed evaluations of performance guarantees, delivery schedules, and support packages. These elements are critical for aligning with the carrier's fleet planning and expansion objectives.

Boeing's existing relationship with flydubai provides a foundation of operational familiarity with the MAX family. Any additional orders would build upon this established platform, ensuring continuity in training and maintenance procedures.

The potential order underscores the competitive dynamics in the single-aisle market, where both manufacturers continually refine offerings to meet evolving customer needs. Factors such as fuel efficiency, reliability, and lifecycle costs play pivotal roles in decision-making.

As negotiations progress amid the airshow activities, announcements may emerge providing clarity on the final configurations. Flexibility in contract structures, including firm orders and options, allows airlines to manage capacity in response to market conditions.

Flydubai's strategy emphasizes scalability to accommodate traffic growth in the Middle East and beyond. Access to a mixed fleet from leading producers enhances operational resilience and negotiating leverage for future acquisitions.

The event attracts participants from across the aviation ecosystem, fostering dialogues on industry trends and technological developments. Outcomes from such interactions often influence procurement patterns for years ahead.

In summary, the prospective deal represents a milestone in supplier diversification for flydubai, while highlighting Airbus' momentum in capturing demand for its largest narrowbody variant. The balanced approach maintains options for the airline as it pursues ambitious development goals.