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Airbus says in talks with MAG on new aircraft order

KUALA LUMPUR: European aircraft manufacturer Airbus SE is hopeful that the company will secure the tender for Malaysia Aviation Group's (MAG) second batch of new narrowbody aircraft order that is slated to be announced by year-end.

Airbus executive vice president international Wouter van Wersch said the company is in discussions with MAG as it is committed to support its new fleet renewal programme.

van Wersch added that it would wait for the outcome of MAH's request for proposal (RFP).

"I saw the comments of Captain Izham yesterday and indeed I can confirm we are in discussions at this moment. I can't say much more on it.

"We'll see what comes out of it. We're looking forward to see how this turns out but we're very committed. Of course, we hope we will be able to be successful but we'll see in the future.

"But what I can say is that we have the A320 and the A321neo (new engine option) aircraft, which is one of the most successful aircraft in the history of aviation," van Wersch said at a media briefing here today.   

Business Times reported yesterday that MAG might be eyeing either the A321 or A320, in addition to Boeing 737 MAX 8 for the second batch of its new narrowbody aircraft order.

MAG group managing director Datuk Captain Izham Ismail said the RFP, which was supposed to be announced early this year but pushed to the end of the year, might see over 25 narrowbody aircraft being placed.

He hinted that the narrowbody airplanes could be A321, A320 or B737 MAX 8, although MAG was open to any of these types of aircraft.

"We'll see what's best on the table," Izham told Business Times in an exclusive interview recently.

The new airplanes under the first and second batches of RFP will be operated by MAG's airline subsidiary, Malaysia Airlines Bhd.

The first batch of RFP include 25 B737 MAX 8 and 20 A330neo.

Malaysia Airlines has received four out of 25 of the MAX 8 and the national carrier is slated to receive its first widebody A330neo by next month.

Airbus Asia Pacific president Anand Stanley said the A320 family aircraft type is the right and the best in Southeast Asia especially Malaysia.

He said the parts for the narrowbody aircraft is maintained in Sepang while being produced in Malacca, and the parts are also delivered in the region from Malaysia.

"I think the A320 family is Malaysian aircraft from Malaysia," Stanley said, adding that the aircraft is also a perfect fit for regional network that connects Malaysia to Southeast Asia.

The second batch of RFP also includes new widebody airplanes that MAG wants in its fleet.

Currently, the group has an option for 20 A330neo after purchasing 20 of the same aircraft type in 2022 under the first RFP.  

Izham said the option for the A330neo remain at the moment.

When asked if MAG would eventually exercise its widebody option, van Wersch said he could not comment on the commercial discussions.

"I can't comment on any of these commercial discussions. That's the prerogative of the customer," he said, adding that Airbus is focused on delivery the first A330neo to MAG.

van Wersch said the A330neo has the same features with the A320 and A321 airplanes in terms of training of the pilots and cabin crews.

"It's very easy to move from one type (of Airbus aircraft) to the other, which means it could be a good economic way of optimising for Malaysia Airlines in terms of training, spare (parts), cost and everything," he added.

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