Airbus targeting Japanese market. Aerospace shares lower
Aerospace shares closed generally lower on Tuesday, as aerospace stocks deal with the fall-out from the Middle East and North African unrest and the jump in oil prices. The largest drops were seen in AAR Corp, Bombardier and BAE Systems. AviChina went against the trend, posting a 9.9% jump.
- Aerospace stocks experience decline due to Middle East and North African unrest and rise in oil prices.
- AAR Corp, Bombardier, and BAE Systems witness significant drops in share prices.
- AviChina stands out with a 9.9% increase in share price.
- Airbus aims to secure over 20% of commercial aircraft orders in Japan, traditionally dominated by Boeing.
- Recent orders and leasing agreements have helped Airbus gain market share in Japan.
- Airbus seeks to strengthen partnerships with Japanese aerospace companies and increase Japanese content in the A380.
Airbus announced it aims to win more than 20% of orders for commercial aircraft in Japan from 2011 and beyond. Japan's two largest carriers, All Nippon Airways and Japan Airlines, have traditionally been strong Boeing customers. A recent order for four A380s with Skymark Airlines and a leasing agreement with A&F Aviation for ten A320s from GECAS has bolstered Airbus' share of the market.
Airbus also confirmed it wants to build up its partnerships with Japanese aerospace companies, and would like to see Japanese manufacturers contributing 10-20% of the content of the A380. Japanese firms manufacture around 4% of the parts for the aircraft at present.
Selected Aerospace daily share price movements (% change): 23-Feb-2011