Ryanair set for China design deal

IRISH LOW-COST airline Ryanair and China’s state-owned Commercial Aircraft Corporation of China Ltd (Comac) are expected to sign…

IRISH LOW-COST airline Ryanair and China’s state-owned Commercial Aircraft Corporation of China Ltd (Comac) are expected to sign a co-operation agreement next week in what could be the first step in a collaboration between the pair to design and put into service a jet aircraft.

Informed sources suggest the agreement will be signed at the Paris Air Show, a major industry trade event starting tomorrow. It will not tie Ryanair into an order with Comac, or require any funding from the Irish airline.

The two groups will collaborate on the design and configuration of Comac’s proposed C919 passenger jet that could be put into service by Ryanair and other short-haul carriers.

It is a major deal for Comac given Ryanair is Europe’s biggest short-haul carrier.

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Such an aircraft – capable of carrying about 190 passengers – could be put into service in late 2016, subject to approvals and certifications from regulators.

Ryanair is in the final stages of a large aircraft order with US manufacturer Boeing, and is keen to source new aircraft at competitive prices.

Talks with Boeing on a new deal broke down last year over pricing, while its French rival Airbus has refused to meet Ryanair’s terms on a potential order.

Ryanair currently flies only Boeing 737 jets.

The Irish carrier, led by Michael O’Leary, has signalled in recent months its interest in talking with Russian and Chinese manufacturers.

The opportunity is one of a number of link-ups Comac is keen to forge as China sets out to develop a civil aviation industry.

Aircraft makers often consult airlines on issues such as cabin layout and operating economics.

Comac is developing the C919 as a rival to the Airbus A320 family of aircraft, and Boeing’s 737. The C919 is a two-engine, single-aisle aircraft and is the most ambitious jetliner project developed in China to date.

A number of western aircraft makers have set up production facilities in China.

Last year, Comac signed an agreement with British Airways to discuss aircraft design.

The Ryanair pact with Comac will be similar to BA’s.

Ciarán Hancock

Ciarán Hancock

Ciarán Hancock is Business Editor of The Irish Times