China Aircraft Leasing Group (CALC) is in talks with Airbus and Boeing to buy 200 planes valued around $22 billion, to meet the growing demand in the region
The Chinese government backed aircraft lesser company, CALC is looking at single-aisle Boeing 737s and Airbus A320s for short-haul flights and 787s and the A350s for long-haul flights to lease to airlines in the Asia region, according to Chief Executive Mike Poon.
Boeing estimates that Asia will need 16,050 new aircraft valued at $2.5 trillion by 2036 and IATA forecast that China is most likely to become the world’s biggest air travel market surpassing the U.S. as early as 2022.
The CALC is weighing the options with Boeing and Airbus. The company may consider the pressure from U.S to cut China’s annual trade surplus by $200 billion when making the decision, as Aircraft cost would support the trade surplus target.
Headquartered in Hong Kong, CALC has over 150 employees, with offices located in Ireland, Malaysia, Singapore and China, and delivery centres in the United States and France.