Juneyao Air Orders 25 Airbus A320 Jets in $4.1 Billion Deal

China’s Juneyao Air, formerly known as Juneyao Airlines, has announced plans to purchase 25 Airbus A320-family aircraft in a transaction valued at approximately US$4.1 billion.

The Shanghai-based carrier said it intends to sign an Aircraft Purchase Agreement with Airbus, under which the aircraft will be delivered in batches between 2028 and 2032, subject to regulatory approval by state authorities.

In a filing released on December 29, the airline said the transaction aligns with its long-term development strategy and anticipated market demand. The new aircraft will support capacity expansion while ensuring that overall fleet growth remains within a controllable range.

According to the announcement, the proposal to acquire the aircraft was approved at the company’s 22nd meeting of the 5th Board of Directors. The transaction is still subject to shareholder approval as well as national regulatory clearance.

Juneyao Air noted that the fulfillment of the aircraft purchase agreement is not expected to have a material impact on the company’s operating results for the current year, nor is it expected to adversely affect future financial performance. Aircraft deliveries will be staggered over several years, allowing for a measured increase in capacity.

Funding for the transaction will be sourced through a combination of internal funds, commercial bank loans, and other financing arrangements. Payments will be made in installments, and the company said the deal is not expected to place significant pressure on cash flow or daily business operations. The transaction does not involve related-party dealings and will not affect the company’s operational independence.

Juneyao Air also disclosed that Airbus offered substantial price concessions as part of the agreement, meaning the actual transaction price will be significantly lower than the aircraft’s published list price.

A subsidiary of Shanghai Juneyao (Group) Co., Ltd., Juneyao Air launched operations in September 2006. By July 2025, the airline’s fleet is expected to include 93 Airbus A320-family aircraft and 10 Boeing 787-9 Dreamliners, forming a dual-fleet structure serving both short-haul and long-haul markets.

The Airbus A320 family is the world’s most successful single-aisle aircraft program, typically seating 150 to 180 passengers with a range of approximately 4,900 to 6,200 kilometers. As of 2025, cumulative deliveries have exceeded 12,260 aircraft, surpassing the Boeing 737 family to become the most delivered commercial aircraft series in aviation history.

Sources: AirGuide Business airguide.info, bing.com, fl360aero.com