The Farnborough International Airshow is in full swing during day two of the biennial industry trade show and exhibition in England. Boeing and Airbus continue to land deals, after announcing sizable orders on Monday. Smaller innovators are also in demand. Embraer announced orders from multiple customers while BETA Technologies landed a deal for its electric aircraft.
BoeingBA on Tuesday announced MSC Air Cargo agreed to purchase five of Boeing's 777-8 Freighters, in an effort to expand its cargo fleet. Uganda Airlines purchased four Boeing 737 Max-8 planes and four 787-9 aircraft.
Luxair, the national airline of Luxembourg, converted two options for 737 Max-10s into firm orders. The options increase Luxair's firm order book to 12 of the 737 aircraft and includes two additional options for 737 Max-10 planes.
AerCapAER placed a new order for 15 of the Boeing 787-9 aircraft, increasing the leasing company's Dreamliner portfolio to about 140 planes. The agreement includes substitution rights for AerCap to switch to the larger 787-10 variant.
The deals come after Boeing secured orders and commitments for nearly 150 planes during day one of the Farnborough Airshow.
Boeing Asks For Intervention Over Airbus Loan
Meanwhile, Boeing and AirbusEADSY are looking to develop their next lines of commercial jets. Boeing CEO Kelly Ortberg told CNBC at the Farnborough Airshow on Monday that the Dow Jones manufacturer needs "a couple more years" to repair its finances before launching a new jet. Airbus has discussed developing a new plane as early as 2030, according to reports.
But tensions have flared after the European Union's European Investment Bank in late June gave Airbus a package of loans worth roughly $3.42 billion. Boeing requested U.S. Trade Rep. Jamieson Greer to push for transparency and "full accounting of the terms of the loan," from the EU, Reuters reported.
The loan came just days after the EU and U.S. indefinitely extended a tariff truce over jet subsidies, which was first singed in 2021.
Boeing in the letter to the USTR questioned the timing and size of the loan, noting that it coincided with Airbus' public remarks about a launch date for a new plane.
Smaller Innovators Land Orders
BETA TechnologiesBETA won an order from U.K.-based regional airline Loganair for five all-electric ALIA conventional takeoff and landing (CTOL) aircraft, with options to purchase five additional CTOLs. The ALIA CX300 CTOL is expected to enter service in 2029.
EmbraerEMBJ saw a slew of orders and agreements. The company extended its long-term maintenance and services agreement with SkyWestSKYW for the airline's fleet of 271 E175 aircraft.
Boeing Wins Big As Farnborough Airshow Takes Off. Airbus, RTX Land Deals
Embraer signed a deal with Azorra for up to 30 of its E-Freighters. Abara group singed an agreement to purchase up to 45 of Embraer's E195-E2 aircraft, while Binter placed an order for an additional five of the E-195-E2s.
Luxair converted existing purchase rights for three E190-E2 planes into firm orders and secured an additional purchase right, after previously ordering six of the planes. Fuji Dreams Airlines of Japan also placed an order for two E175 aircraft.
Bahrain-based Gulf Air singed a letter of intent with JetZero for an undisclosed number of their upcoming Z4 commercial aircraft. The deal includes preferential delivery status when JetZero begins delivery in the early 2030s. Japan Airlines on Tuesday said it plans to support Z4 development and will engage with JetZero as the plane moves toward its entry into service in the early 2030s.
Other Deals, Announcements
Among other deals, CAECAE secured an order from Turkish Airlines for five full-flight simulators and two flight training devices, with options for two additional flight simulators. The deal covers training simulators for the Airbus A321neo, Airbus A350, Boeing 787 and training devices for the A350.
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Elsewhere, Archer AviationACHR and Anduril on Monday unveiled a jointly-developed, hybrid-electric vertical takeoff and landing (VTOL) platform for commercial and defense applications.
IndiGo late Monday signed a memorandum of understanding with CFM International, the joint venture between GE AerospaceGE and Safran Aircraft Engines, for over 1,000 LEAP-1A engines to power its fleet of Airbus A320neo planes.
Airline, Aerospace Stocks In Motion As Airshow Rolls On
BA stock declined 2.2% Tuesday, continuing to trade below its key moving averages.
EADSY stock surged 4.4% and rebounded back above its 200-day line toward a 59.77 cup-with-handle entry.
Embraer shares declined less than 1%.
BETA stock inched slightly lower.
Archer Aviation shares reversed after an early attempt to rebound near its 50-day moving average.
You can follow Harrison Miller for more stock news and updates on X/Twitter @IBD_Harrison.
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