China Eastern Airlines has agreed to purchase 50 single-aisle aircraft from Boeing to facilitate its expansion into the low-cost carrier (LCC) market.
The 50 B737 series narrow-body aircraft will be designated for China Eastern’s wholly-owned subsidiary China United Airlines, the carrier said on July 9. Beijing-based China United Airlines is currently undergoing a transition to become a LCC.
The plane order carries an official price tag of US$4.56 billion but China Eastern will likely receive a generous bulk discount from Boeing. Delivery will take place from 2017 to 2019.
China Eastern is continuing to expand its operations in response to the rapidly growing demand for air travel in China. At the same time, it is accelerating its fleet upgrades to cut costs, and this latest purchase is meant to replace its older inefficient aircraft.(translation by David)
