# Airbus in talks on sales of A350 freighter -exec
Author:  Pal Sinha, Barnali 
Author URL: https://financedigest.com/author/pal-sinha-barnali
Published: 2021-09-22
Category: BUSINESS
Category URL: https://financedigest.com/category/business
Meta Title: Airbus Explores A350 Freighter Amid Demand for A320 Jets in
Meta Description: Airbus is actively marketing a new A350 freighter and seeing interest in smaller A320 planes in Europe, aiming to challenge Boeing in the cargo market.
URL: https://financedigest.com/airbus-in-talks-on-sales-of-a350-freighter-exechtml

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By Tim Hepher

TOULOUSE, France (Reuters) – Airbus <AIR.Pa> is in talks with several potential customers for a new A350 freighter while seeing signs of demand for smaller A320 passenger jets in Europe, its sales chief said on Tuesday.

With e-commerce booming, Airbus formally began marketing a proposed freight variant of its A350 passenger jet in July, taking aim at Boeing’s [tight grip on the global cargo market](https://www.financedigest.com/recruitment-in-a-candidate-tight-market.html "Recruitment in a Candidate Tight Market ").

“We are in a number of very encouraging discussions,” [Chief Commercial Officer](https://www.financedigest.com/host-analytics-appoints-chris-labruna-as-chief-revenue-officer.html "Host Analytics Appoints Chris LaBruna as Chief Revenue Officer") Christian Scherer told reporters in Toulouse, where the European planemaker is based.

“It is available for [sale](https://www.financedigest.com/ethical-financial-selling-the-role-of-compliance-technology-and-sales-enablement.html "Ethical Financial Selling: The Role of Compliance Technology and Sales Enablement ") and is selling,” he added.

Boeing has for [years dominated the market](https://www.financedigest.com/the-next-upcoming-years-to-see-the-gastric-electric-stimulators-market-grow-kinetically.html "The Next Upcoming Years To See The Gastric Electric Stimulators Market Grow Kinetically") for purpose-built freighters, even as its European rival grabbed the crown as the world’s largest maker of passenger jets.

Boeing is preparing to launch its own new freighter, a cargo version of its upcoming 777X jetliner, industry [sources say](https://www.financedigest.com/caixabank-proposes-sector-wide-freeze-in-variable-mortgage-costs-source-says.html "Caixabank proposes sector-wide freeze in variable mortgage costs, source says").

Freighters can [sell for higher prices than passenger planes and help to prop up depressed production for wide-body models at a time](https://www.financedigest.com/best-selling-books-of-all-time.html "Best selling books of all time") when long-haul travel is weak, industry experts say.

While demand for wide-body passenger jets remains stagnant, demand for smaller planes used in regional and domestic [markets is rising](https://www.financedigest.com/event-management-software-market-to-rise-steadily-at-a-cagr-of-14-1.html "Event Management Software Market to rise steadily at a CAGR of 14.1%").

Demand is [coming back,”](https://www.financedigest.com/twitter-asks-some-laid-off-workers-to-come-back-bloomberg-reports.html "Twitter asks some laid off workers to come back, Bloomberg reports") Scherer said. We [need to be very careful](https://www.financedigest.com/smaller-lifetime-care-awards-means-accident-victims-need-to-take-more-investment-risk.html "Smaller Lifetime Care Awards Means Accident Victims Need To Take More Investment Risk") – we are not out of the woods and we are still in a very fragile environment – but Europe is rallying quite nicely at this moment.

Airbus plans to increase production of the medium-haul A320neo family, which competes with Boeing’s 737 MAX, to a record 63 a month from 40 now, [surpassing pre-crisis levels](https://www.financedigest.com/foreign-tourism-to-portugal-surpasses-pre-covid-levels-in-july.html "Foreign tourism to Portugal surpasses pre-COVID levels in July").

It has said it is also looking at pushing [output as high as 75 a month](https://www.financedigest.com/spanish-manufacturing-output-down-for-6th-straight-month-in-dec-pmi.html "Spanish manufacturing output down for 6th straight month in Dec -PMI"), but such levels have drawn concerns about supply chains from engine makers like France’s Safran.

Scherer defended the existing production commitments, which he said were justified by contracts with [airlines even after an industry](https://www.financedigest.com/airline-body-iata-sees-industry-recovery-now-in-2023.html "Airline body IATA sees industry recovery now in 2023") shakeout brought about by the coronavirusus crisis.

If anything in my [world I am challenging](https://www.financedigest.com/world-tourism-organization-unwto-and-sommet-education-launch-hospitality-challenge-pitch.html "World Tourism Organization (UNWTO) and Sommet Education launch Hospitality Challenge Pitch") them to be steeper,” he said.

[Airbus is talking to Hungary’s Wizz Air over a sale of at least 100 more narrowbody jets](https://www.financedigest.com/airbus-may-delay-some-2023-jet-deliveries-sources.html "Airbus may delay some 2023 jet deliveries: sources"), Reuters reported earlier this month.

Among other European prospects, British Airways parent IAG has reopened a [fresh competition between Airbus and Boeing](https://www.financedigest.com/boeing-shares-plunge-on-fresh-777x-setbacks-array-of-charges.html "Boeing shares plunge on fresh 777X setbacks, array of charges") for narrowbody jets, revisiting a large provisional order for 200 MAX jets that was never finalised, the sources said.

Finnair is looking at a narrowbody purchase but a formal tender has yet to be launched.

Air France-KLM in [July said it had launched a tender](https://www.financedigest.com/in-renewed-push-spain-to-tender-eu-funds-for-evs-batteries-in-july.html "In renewed push, Spain to tender EU funds for EVs, batteries in July") to extend the medium-haul fleets of Dutch unit KLM and the French and Dutch arms of low-cost subsidiary Transavia.

[(Reporting By Tim](https://www.financedigest.com/tim-shares-slide-as-reported-grid-bids-disappoint.html "TIM shares slide as reported grid bids disappoint") Hepher in Toulouse; Editing by David Gregorio)


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