NICHOLAS IONIDES / SINGAPORE

Move is setback for Airbus programme and delayed PW6000 engine, for which carrier was to be a launch customer

Air China is seeking to drop a firm commitment for eight Airbus A318s in yet another setback for the aircraft and the troubled Pratt & Whitney PW6000 engine.

Industry sources in China say the Beijing-based flag carrier is in talks with Airbus and P&W aimed at cancelling its order, possibly by trading up to the larger A319. Air China, which also has two A318 options, is the only Asian customer for the 107-seat aircraft and the order was hard-won by Airbus and P&W. If the deal collapses, it will leave just three customers holding 26 orders for the PW6000-powered A318 - America West (15), British Airways (six) and EgyptAir (five).

The talks are complicated, however, as Air China is a launch customer for the PW6000 and P&W does not directly offer an A319 engine. As part of Air China's 1999 deal, P&W agreed to buy back all four of the carrier's Boeing 747SPs, one of which is now a testbed.

The sources say one likely solution is for Air China to switch to International Aero Engines V2500-powered A319s. Although not directly produced by P&W, the V2500 is a joint venture between the US company and Japanese Aero Engines, MTU and Rolls-Royce.

The PW6000's entry into service is now around 30 months late because the turbofan failed to meet specific fuel consumption targets guaranteed to customers. Its design is being heavily revised and P&W recently decided to retrofit the engine with MTU's HDV12 high-pressure compressor to resolve the problems.

But service entry has been delayed to mid-2005 and Air China's revised delivery dates have yet to be agreed with Airbus or P&W, the sources say. They add that this may give the carrier, which was to receive its first A318 next year, some leverage in its negotiations.

The PW6000 delays have led to the rival CFM International CFM56-5B overtaking the P&W engine as the lead powerplant on the A318.

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Source: Flight International