China confirms order for 70 Boeing 737s. Might buy 80 more
As reported earlier, China has finally confirmed that they are going to purchase around 70 Boeing 737 planes. This order is worth around USD 4 Billion at market prices. However, the actual price would be lower depending upon how much bargain China has managed to snap out of the American aircraft maker. The news was confirmed by the official Xinhua news agency who also claimed that the country might place orders for 80 more of such planes.
Xinhua quoted a source placed at China Aviation Supplies Import and Export Group Corp. these companies manage the aircraft purchases by the Chinese government. The first set of these ordered planes will be delivered to eight Chinese airlines between 2006 and 2008. Some of the airline companies to receive these planes are Air China, China Southern Airlines, China Eastern Airlines, Shanghai Airlines, Xiamen Airlines, Shandong Airlines, Hainan Airlines, and Shenzhen Airlines.
This order is part of a bigger order which is expected to bring around 150 737s to the Chinese airline companies. The deliveries of the extended order of 80 more planes are expected to take place after 2008. The deal was signed as the US President George W Bush and Chinese President Hu Jintao held talks in Beijing on a number of issues. They discussed issues related to China’s huge trade surplus with the US.