Boeing says China demand for aircraft steady despite economic slowdown
Updated: 2016-08-18 11:48
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Boeing Co isn’t experiencing any slippage in demand for jetliners in China, despite the country's sluggish economic growth, a senior Boeing executive said.
"We're not seeing any softness yet," Ihssane Mounir, Boeing's senior vice-president of sales for Northeast Asia, said on Wednesday at a briefing marking the 50th 787 Dreamliner delivered to ANA Holdings Inc, Japan's largest airline.
"We're watching it close," Mounir added, since global economic conditions could shift. "But if I just look at the Chinese market as it stands today, I'm not seeing any signs of weakness whatsoever."
Global demand for wide-body aircraft has slowed, raising concerns about sales growth at Boeing and rival Airbus. Boeing said last week it may further cut production of wide-body 777 jetliners and not increase output of 787s unless sales improve.
A strong exchange rate for Japan's currency has slowed some of China's tourism to Japan, said Hideki Kunugi, ANA's senior vice president for the Americas. But he said ANA's decision to expand its capacity and its network in China is supported by demand.
ANA took delivery on Wednesday of a new 787-9, the mid-sized version of Boeing's high-tech, long-haul Dreamliner aircraft. The jet seats 290 passengers in a two-class configuration and carries a list price of $264.6 million, though airlines typically negotiate discounts.
ANA is experiencing robust growth in business travel from Japan to Latin America, Kunugi said, adding that it plans to launch a route from Tokyo to Mexico City in February 2017 using the 787 as part of its Latin America strategy. "Our current main target will be Tokyo and Mexico and onward," he said.
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