CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 79% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
US English

Airbus (AIR) wins mega orders from Qantas and SIA

By Debabrata Das

08:48, 16 December 2021

An Airbus A350 at the Paris Air Show
An Airbus A350 at the Paris Air Show – Photo: Alamy

European airframe maker Airbus made some big wins against its US-based counterpart Boeing as it secured key orders from Australian airline Qantas and Singapore Airlines (SIA).

The order from Qantas was particularly important as the airline decided to use Airbus’ narrowbody aircrafts A320 and A220 to replace its fleet of existing Boeing 737s and 717s. 

The Australian flag carrier has been a long-term Boeing stalwart, at one point it was the only global airlines with its fleet comprised entirely of the iconic 747. 

In total, Qantas signed an in-principle agreement to buy 134 Airbus narrowbody aircraft over 10 years. Of these, 40 are firm orders while it will retain purchase right options on a further 94 aircraft.

Airbus new for Qantas

The firm order component for 20 A321XLR (extra long range) and 20 A220 aircraft is worth $4.6bn at list price. Airlines get a discount when ordering in bulk, the value of the discount was not disclosed by Airbus or Qantas.

“The A320 will be new for Qantas Domestic, but we already know it’s a great aircraft because it’s been the backbone of Jetstar’s success for more than 15 years and more recently operating the resources industry in Western Australia.

The A220 is such a versatile aircraft which has become popular with airline customers in the US and Europe because it has the capability to fly regional routes as well as longer sectors between capital cities,” Qantas Group CEO Alan Joyce, said in a statement on Thursday.


37,815.80 Price
+0.050% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 22:00 (UTC)
Spread 106.00

Oil - Crude

75.91 Price
-2.340% 1D Chg, %
Long position overnight fee -0.0165%
Short position overnight fee -0.0054%
Overnight fee time 22:00 (UTC)
Spread 0.030


15,921.40 Price
-0.740% 1D Chg, %
Long position overnight fee -0.0262%
Short position overnight fee 0.0040%
Overnight fee time 22:00 (UTC)
Spread 1.8


0.61 Price
-0.420% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 22:00 (UTC)
Spread 0.01168

Singapore Airlines, which has been a long-time customer of Airbus aircraft, signed a letter of intent with Airbus to purchase seven A350F freighter aircraft, with an option to order five more such planes.

What is your sentiment on AIRfr?

Vote to see Traders sentiment!

SIA first to use A350 freighter

The A350F is a widebody freighter and Singapore Airlines will be the first to use it when deliveries begin in the fourth quarter of 2025. The deal is a swap of 15 A320neo and two A350-900 aircraft that Singapore Airlines had already ordered with Airbus.

At list price, the order is worth $2.3bn. However, neither the airline nor Airbus revealed the discount.

In this case too, Airbus’ aircraft will replace Singapore Airlines’ existing fleet of Boeing 747-400F freighter.

Airbus freighter more fuel efficient

“The A350F can carry a similar volume of cargo as the Boeing 747-400F, which it will replace in the SIA fleet. It burns up to 40% less fuel on similar missions to provide better operating economics, and boasts a longer range that offers greater flexibility in aircraft deployment,” the airline said in a statement.

“The pandemic has underscored the importance of investing in the cargo business, and bolstering the SIA Group’s diverse revenue streams. Air cargo also plays a vital role in keeping open global supply chains, especially to transport essential goods during these times,” said Goh Choon Phong, CEO of Singapore Airlines.

Read more: Airbus (AIR) confirm new orders from domestic and defence airliners

Markets in this article

136.55 USD
0.64 +0.470%
136.55 USD
0.64 +0.470%

Rate this article

The difference between trading assets and CFDs
The main difference between CFD trading and trading assets, such as commodities and stocks, is that you don’t own the underlying asset when you trade on a CFD.
You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
CFDs are leveraged products, which means that you only need to deposit a percentage of the full value of the CFD trade in order to open a position. But with traditional trading, you buy the assets for the full amount. In the UK, there is no stamp duty on CFD trading, but there is when you buy stocks, for example.
CFDs attract overnight costs to hold the trades (unless you use 1-1 leverage), which makes them more suited to short-term trading opportunities. Stocks and commodities are more normally bought and held for longer. You might also pay a broker commission or fees when buying and selling assets direct and you’d need somewhere to store them safely.
Capital Com is an execution-only service provider. The material provided on this website is for information purposes only and should not be understood as an investment advice. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents. We do not make any representations or warranty on the accuracy or completeness of the information that is provided on this page. If you rely on the information on this page then you do so entirely on your own risk.

Still looking for a broker you can trust?

Join the 570.000+ traders worldwide that chose to trade with

1. Create & verify your account 2. Make your first deposit 3. You’re all set. Start trading