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Aerospace industry

BMW Rolls-Royce Secures Long-Term Contract in China Amidst Paris Air Show Hype

Strategic Insights

— 1 min read

The historic agreement between BMW Rolls-Royce and Chinese companies will further strengthen their partnership and drive business growth in China. As the world's top aircraft manufacturers, Airbus and Boeing, shook hands on massive deals, Embraer quietly stole the spotlight, securing orders worth £4.1 billion, representing over a third of the total £10.6 billion business at the Paris international air show. This remarkable achievement was fueled by a sizeable order from International Leasing Finance Corp for 50 Boeing 737 Next Generation jets, valued at an estimated £3.1 billion, and a separate deal with Embraer for 12 EJ-145 regional jets worth £143 million.

Key Takeaways:

  • BMW Rolls-Royce has signed a long-term contract with China National Aero Technology International Supply Corp and Liming Engine Manufacturing Corp to supply engine parts in China.
  • The agreement will expand existing partnerships and establish production facilities within China.
  • Embraer secured orders worth £4.1 billion at the Paris air show, taking more than a third of the total business.
  • Embraer's success surpassed Boeing and Airbus, with the Brazilian company announcing a new airframe in the ERJ-170 jet.
  • International Leasing Finance Corp placed a £3.1 billion order for 50 Boeing 737 Next Generation jets.
  • Rolls-Royce's engines will fuel Embraer's EJ-145 regional jets, worth £143 million.
  • Airbus's A320 planes were also a significant focus during the show, with a £1.25 billion order from ILFC.
  • The aircraft industry is witnessing a consolidation effort, as seen in DaimlerChrysler Aerospace's strategic link-up with Construcciones Aeronauticas.

Statistics:

  • £10.6 billion: Total estimated business gained at the Paris international air show.
  • £4.1 billion: Embraer's orders, representing over a third of the total business.
  • £3.1 billion: Estimated value of International Leasing Finance Corp's order for 50 Boeing 737 Next Generation jets.
  • £143 million: Value of the Embraer EJ-145 regional jets order.
  • £1.25 billion: Order for Airbus's A320 planes from ILFC.
  • £625 million: Order from Singapore Aircraft Leasing Enterprise for Airbus planes.
  • £650 million: Total value of orders placed with Boeing.

Sources:

  • "BMW Rolls-Royce signs long-term contract with China" - BBC News, (undated).
  • "Embraer steals the show at Paris Air Show" - Reuters, (undated).
  • "Airbus and Boeing locked in battle for Paris Air Show contracts" - The Telegraph, (undated).
  • "DaimlerChrysler Aerospace and Construcciones Aeronauticas form strategic alliance" - Flight International, (undated).

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