Boeing keeps low profile at Paris Air Show as Airbus hits $27 billion in orders

PARIS – Every other year, thousands of visitors flock to a Paris suburb for the Paris Air Show, one of the aerospace industry’s biggest events.

The atmosphere is typically celebratory, but the recent deadly crash of an Air India flight cast a shadow over the show this week.

The contrasting moods were apparent in the rivalry between two of the show’s most prominent aircraft manufacturers: Airbus and Boeing.

Airbus said it had withheld some announcements, but still secured US$21 billion (S$27 billion) of orders for new commercial jets, while rival Boeing opted not to announce new sales following last week’s Air India 787 crash.

The cause of the crash, in which at least 270 people died in the plane and on the ground, has yet to be determined.

But it happened at a delicate moment for Boeing, which had appeared to be moving past a series of setbacks in recent years.

The company reported nearly 350 orders in May, some of which were part of a trade deal between the United States and Britain.

That made May Boeing’s best month for sales in 1½ years.

Boeing also reached a crucial production target in May for its most popular plane, the 737 Max.

Boeing’s chief executive Kelly Ortberg and the head of its commercial plane unit Stephanie Pope were scheduled to attend the air show, but cancelled their plans after the Air India crash.

The sober atmosphere for Boeing was a contrast to Airbus, which boasted major orders for its most popular jets, including 40 A220 single-aisle jets for LOT Polish Airlines and a deal with VietJet for up to 150 single-aisle jets.

Airbus also scored big wins in Saudi Arabia, which wants to become an international air travel hub: Riyadh Air ordered 25 A350 wide-body aircraft, while AviLease, a Saudi jet leasing company, ordered 40 commercial and cargo jets.

Still, Airbus said it had chosen to hold back some announcements.

“The cold shower we all had was the Air India accident, so we’ve actually scaled back,” said the CEO of Airbus’ commercial aircraft business Christian Scherer.

He added that although aerospace was extremely competitive, Airbus never used safety to its advantage: “You don’t go there.”

Boeing has been in catch-up mode the past few years as its rival has pulled ahead in orders.

Even if it does see any slowdown in business because of the crash, it will probably be temporary if the investigation clears the plane itself, said Mr Richard Aboulafia, a managing director at AeroDynamic Advisory, a consulting firm.

“If there’s any pullback from orders in the aftermath of this tragedy, it’s purely for optics,” he said.

Airlines remain confident in Boeing’s planes and have only one major alternative in Airbus.

It could take months to determine the cause of the crash. The plane’s flight data recorder and cockpit voice recorder, both of which have been recovered, should yield a wealth of information, experts said.

It was the first fatal crash involving a Dreamliner, a popular choice for long-distance routes because of its range, fuel efficiency and other factors.

More than 1,100 are in service today, according to Cirium, an aviation data firm.

India’s aviation authority, the Directorate General of Civil Aviation, said on June 17 that a review of Air India’s remaining Dreamliner planes “did not reveal any major safety concerns”. NYTIMES