Airbus cancels $6 billion order for 50 A321neos for Qatar Airways

Airbus has announced the cancellation of the contract for an order of 50 A321neo by Qatar Airways, a new step in the dispute between it and the airline over another model, the A350. “We confirm that we have terminated the contract for 50 A321s with Qatar Airways, in accordance with our law,” an Airbus spokesperson told AFP, confirming information from Bloomberg.

This decision is part of the dispute between the manufacturer and the company, which has grounded part of its A350 fleet due to damage to the surface of the fuselages and has brought proceedings before the British courts. against Airbus. Qatar Airways has also refused to take delivery of several additional A350s since.

Highlighting this defect in the execution of the contract, Airbus responded by canceling the order for 50 A321neo single-aisle aircraft, according to a source familiar with the matter. At the list price, last published by Airbus in 2018 and almost never applied due to discounts, this order amounted to more than 6 billion dollars.

618 million dollars claimed by Qatar Airways

In this war of nerves between Qatar Airways and Airbus, a first hearing before the High Court of Justice in London was held on Thursday, where each party presented its elements, according to the source familiar with the matter.

Qatar Airways has claimed compensation of $618 million, along with a penalty of $4 million per additional day of immobilization of its A350s, which had been ordered by the Qatari air regulator, according to this source.

Airbus, for its part, invoked a default clause regarding the refusal to take delivery of additional A350s to justify the cancellation of the A321neo order. A new hearing is scheduled for the week of April 26.

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