CHINA EASTERN and China Northern Airlines have signed a $700 million provisional agreement with McDonnell Douglas (MDC), increasing the number of Long Beach-built MD-90-30 TrunkLiners ordered to 20.
Under a revised deal signed in 1994, China had intended ordering 14 MD-90s and six MD-82s from McDonnell Douglas' Long Beach plant (Flight International, 16-22 November, 1994). A further 20 MD-90s are to be produced in China by Shanghai Aviation Industrial (SAIC).
China Northern, however, has decided not to order any more MD-82s to add to the 23 aircraft it already operates. It will instead purchase 11 MD-90s. The other nine Long Beach-built twinjets will go to China Eastern.
McDonnell Douglas expects to finalise sales contracts with the two regional carriers by the end of this month. The first 150-seat aircraft, is scheduled to be delivered to China, in mid-1996.
Plans for a further 20 MD-90s to be produced by SAIC remain unchanged. The first aircraft will be rolled off the Chinese production line in 1998.
China Northern is expected to require additional aircraft to replace its early build MD-82s, many of which are being passed on to smaller carriers, such as its subsidiary carrier Beihai Airlines. Other potential MD-90 operators include start-up carriers Swan and Nanjing Airlines.
The switch to an all MD-90 purchase is only the latest in a succession of different amendments to the original 1992 TrunkLiner deal, which at one time was intended to stretch to 150 aircraft.
The changes in the TrunkLiner contract are a reflection of the growing independence of carriers to order want they want, say analysts, rather than simply being allotted aircraft by the central Chinese authorities.
Source: Flight International
