Aircraft Orders & Deliveries
Shandong Airlines Leases 10 Boeing 737 Jets in $405M Deal
Shandong Airlines, an Air China subsidiary, leases 10 Boeing 737 jets for $405 million to modernize its fleet amid US-China trade dynamics.

Shandong Airlines, a subsidiary of China’s flagship carrier Air China, has agreed to lease 10 Boeing 737 aircraft in a transaction valued at approximately 2.88 billion yuan (US$405 million). According to reporting by the South China Morning Post, the deal was officially disclosed in a notice issued by Air China to the Shanghai Stock Exchange on Thursday, March 26, 2026.
The agreement arrives at a highly sensitive juncture for US-China trade relations, coming just weeks before a planned diplomatic visit to Beijing by US President Donald Trump. As Chinese carriers work to modernize their aging fleets, this lease highlights the ongoing reliance on Western aerospace manufacturers despite broader geopolitical headwinds and supply chain constraints.
We note that this Boeing deal also surfaces amid fierce competition from European rival Airbus, which recently secured a massive narrowbody order from another major Chinese airline, underscoring the intense battle for market share in one of the world’s most critical aviation markets.
Deal Specifics and Fleet Modernization
Breakdown of the Boeing Lease
The $405 million transaction involves a mix of previous-generation and current-generation narrowbody jets. Based on the Shanghai Stock Exchange filing cited by the South China Morning Post, Shandong Airlines has structured the leases across varying timeframes to meet its operational needs. The carrier will lease three Boeing 737-800 jets on 10-year terms, another three 737-800 jets on 11-year terms, and four newer Boeing 737 Max Commercial-Aircraft on 12-year leases.
Deliveries of the 10 aircraft are scheduled to occur in batches over the next two years. The stated purpose of the acquisition, according to the corporate filing, is to refresh the carrier’s aging fleet and expand future operational capacity.
“The announcement signals China’s continued demand for American aviation products to refresh its aging domestic fleet,” according to supplementary industry research.
Geopolitical Context and Trade Diplomacy
Timing Ahead of Presidential Visit
The timing of the lease is highly notable. The South China Morning Post and supplementary industry data indicate that the announcement precedes US President Donald Trump’s anticipated state visit to China, where he is expected to discuss trade issues with Chinese President Xi Jinping. Historically, Beijing has utilized large-scale aviation agreements as a diplomatic mechanism to help balance its significant bilateral trade deficit with the United States.
During President Trump’s previous state visit to China in 2017, Beijing agreed to purchase 300 Boeing jets. While this 10-aircraft lease by Shandong Airlines is significantly smaller in scale, it serves as a notable development in bilateral trade ahead of the upcoming high-level talks.
Global Conflicts Impacting Timelines
The broader geopolitical landscape has also shifted the timeline for these crucial trade discussions. Originally scheduled for early April 2026, Washington postponed the presidential trip to mid-May 2026. Industry research attributes this delay to the outbreak of the US-Israel war on Iran, which commenced on February 28, 2026. This conflict has created ripple effects across the globe, forcing diplomatic reshuffling and delaying key US-China negotiations.
The Competitive Landscape in China
Airbus Secures Major China Eastern Order
Boeing’s $405 million lease agreement stands in stark contrast to recent victories by its primary competitor in the region. Just two days prior to the Shandong Airlines announcement, China Eastern Airlines revealed a massive $15.8 billion order for 101 Airbus A320neo-family aircraft on March 25, 2026.
According to industry data, the Airbus jets are slated for delivery between 2028 and 2032. This timeline suggests that Chinese carriers are aggressively securing late-decade capacity slots, locking in future growth with the European manufacturer. In late 2025 and early 2026, several other Chinese carriers, including Air China and Spring Airlines, also placed substantial Orders for Airbus narrowbody jets.
The Role of COMAC
While Chinese Airlines continue to rely heavily on Boeing and Airbus, the domestic aerospace sector is slowly maturing. China is actively integrating its domestically produced COMAC C919 narrowbody jets into commercial service. However, current production rates for the C919 lag behind the immediate fleet modernization needs of the country’s airlines. This production gap necessitates continued reliance on Western aircraft manufacturers to maintain capacity in the near term.
AirPro News analysis
At AirPro News, we view this 10-aircraft lease as a pragmatic, rather than purely political, move by Air China and its subsidiary. While the timing ahead of US-China trade talks is convenient and certainly carries diplomatic weight, the modest scale of the deal, especially when juxtaposed with the 101-aircraft Airbus order announced the same week, suggests that Boeing still faces an uphill battle in reclaiming its historical market dominance in China.
Furthermore, the specific mix of older 737-800s and newer 737 Max jets indicates an urgent need for immediate, reliable capacity. As COMAC works to ramp up C919 production over the next decade, Chinese carriers are forced into a delicate balancing act. They must utilize leased Boeing and Airbus aircraft to bridge the operational gap until domestic Manufacturing can fully meet the surging demand of the Chinese travel market.
Frequently Asked Questions
How much is the Shandong Airlines Boeing lease worth?
The transaction is valued at 2.88 billion yuan, which is approximately US$405 million.
What types of aircraft are included in the deal?
The lease includes a total of 10 narrowbody jets: three Boeing 737-800s on 10-year leases, three 737-800s on 11-year leases, and four Boeing 737 Max aircraft on 12-year leases.
When will the planes be delivered?
According to the Shanghai Stock Exchange filing, the aircraft will be delivered in batches over the next two years.
Why was the US presidential visit to China postponed?
Originally scheduled for early April 2026, the visit was postponed to mid-May 2026 due to the outbreak of the US-Israel war on Iran in late February 2026.
Sources
Photo Credit: byeangel
Aircraft Orders & Deliveries
Azorra Orders 15 E195-E2 Jets, E2 Program Tops 500 Orders
Azorra places a firm order for 15 Embraer E195-E2 aircraft, pushing the E2 program past 500 total orders.

Aircraft lessor Azorra has expanded its commitment to the Embraer E2 family, placing a firm order for 15 Embraer E195-E2 jets and securing 15 additional purchase rights on June 5, 2026. The transaction pushes the total orderbook for the Brazilian manufacturer’s E2 program past the 500-aircraft milestone.
In a press release issued from São José dos Campos, Embraer S.A. confirmed the order will be added to its second-quarter 2026 backlog. This marks the third time Azorra has increased its commitment to the E2 program since its initial order in December 2021, bringing the lessor’s total firm E2 orders to 54 aircraft.
Azorra expands global E2 placement
Azorra has actively worked to broaden the E2 customer base worldwide. The lessor recently facilitated deliveries of E195-E2 and E190-E2 aircraft to international operators including Royal Jordanian Airlines, Scoot, and Virgin Australia.
Azorra Chief Executive Officer John Evans stated that the lessor’s continued investment reflects strong airline demand for right-sized, fuel-efficient aircraft that offer operational and network planning advantages.
“As an early supporter of the program, Azorra has worked closely with Embraer and Pratt & Whitney to expand the E2 customer base and bring the aircraft to new operators across multiple regions around the world,” Evans said. “We are proud to further strengthen our partnership with Embraer through this order and to play a role in the E2 program surpassing 500 orders.”
Embraer reaches program milestone
The E195-E2 is Embraer’s largest commercial aircraft. It features a two-by-two seating configuration and is marketed for its low fuel burn and reduced emissions. Following the Azorra transaction, the E2 program has officially secured more than 500 orders.
Embraer reports that more than 200 E2 family aircraft are currently in operation globally, flying for 24 different airline customers.
Arjan Meijer, President and CEO of Embraer Commercial Aviation, highlighted the lessor’s role in the program’s global success.
“Azorra has been an important partner in the global success of the E2, and this latest order is another strong endorsement of the aircraft’s outstanding economics, performance and passenger appeal,” Meijer said. “Surpassing 500 E2 orders is a proud moment for Embraer and reflects the growing momentum behind right-sized, fuel-efficient aircraft.”
AirPro News analysis
We view Azorra’s repeated follow-on orders as a strong indicator of lessor confidence in the E2 family. The partnership between Embraer, Azorra, and engine manufacturer Pratt & Whitney has proven effective in placing the aircraft with diverse global operators. Crossing the 500-order threshold provides Embraer with a solid backlog and validates the market positioning of the E195-E2 as a versatile crossover narrowbody for airlines seeking to modernize fleets and open new routes.
Sources: Embraer S.A., Azorra
Photo Credit: Embraer
Aircraft Orders & Deliveries
Boeing Delivers First Two 787-9 Jets to Riyadh Air
Boeing delivered two 787-9 Dreamliners to Riyadh Air on June 5, 2026, ahead of the carrier’s July 1 inaugural flights.

The Boeing Company delivered the first two custom-built Boeing 787-9 Dreamliner aircraft to Riyadh Air on June 5, 2026, marking a critical fleet milestone ahead of the Saudi Arabian startup carrier’s inaugural commercial passenger flights scheduled for July 1, 2026.
In a press release issued on June 5, 2026, Boeing confirmed the arrival of the widebody jets in Riyadh, Saudi Arabia. The delivery transitions Riyadh Air from operating a leased training aircraft to flying its own factory-fresh fleet as it prepares to launch initial service to London Heathrow Airport (LHR). The fleet expansion is a central component of Saudi Arabia’s Vision 2030 aviation strategy, which targets 150 million annual visitors and 330 million annual passengers by the end of the decade.
Fleet development and operational launch
Riyadh Air, backed by the Public Investment Fund (PIF) of Saudi Arabia, originally placed its widebody order in March 2023. The agreement includes 39 firm orders for the Boeing 787-9 Dreamliner alongside options for an additional 33 airframes, bringing the potential total to 72 aircraft.
Prior to receiving these new airframes, Riyadh Air utilized a leased Boeing 787 from Oman Air starting in late 2025. Live From A Lounge reported that this leased aircraft allowed the startup to conduct crew training and maintain valuable slot allocations at LHR. With the arrival of its own custom-built jets, the airline has formally opened ticket sales for its initial route connecting Riyadh and London, according to Skift.
Riyadh Air Chief Executive Officer Tony Douglas emphasized the significance of the delivery for the new carrier.
“To see our very first custom-built 787 Dreamliner airplanes touch down in Riyadh is a historic moment for us, and a momentous day for Saudi aviation,” Douglas stated in the Boeing release. “Not only are we building an airline, we are opening a new gateway to the world from the heart of the Kingdom.”
Strategic partnerships and network growth
The airline plans to serve more than 100 destinations by 2030. To support this rapid network expansion, Riyadh Air is actively establishing partnerships with established global carriers.
On June 4, 2026, Riyadh Air signed a Memorandum of Understanding (MoU) with Air India. Aviation Week reported that the agreement outlines planned interline and codeshare arrangements, pending regulatory approvals. This collaboration is designed to facilitate passenger connections between Saudi Arabia, India, and subsequent international destinations.
Stephanie Pope, President and Chief Executive Officer of Boeing Commercial Airplanes, noted that the aircraft will provide the startup with the necessary range and economics to execute its network strategy. The manufacturer stated the Boeing 787-9 Dreamliner offers the efficiency and route flexibility required for Riyadh Air’s ambitious growth targets.
AirPro News analysis
We view the on-time delivery of these initial Boeing 787-9 Dreamliners as a critical operational de-risking event for Riyadh Air. Launching a new national carrier on a strict timeline requires precise synchronization of aircraft deliveries, regulatory certification, and crew readiness. By securing its own metal ahead of the July 1, 2026 launch, Riyadh Air avoids the operational compromises often associated with extended reliance on wet-leased or interim aircraft. The immediate push for codeshare agreements, such as the recent MoU with Air India, indicates a strategy focused on rapid market penetration rather than slow, organic route development.
Sources: The Boeing Company
Photo Credit: Riyadh Air
Aircraft Orders & Deliveries
Singapore Airlines in Talks for 50-Plus Widebody Jets
Singapore Airlines is negotiating with Airbus and Boeing for at least 50 widebody jets, evaluating the A350-1000 and 777-9.

This article summarizes reporting by Reuters.
Singapore Airlines (SIA) is in early-stage negotiations with Airbus SE and The Boeing Company to acquire a minimum of 50 widebody passenger aircraft, evaluating the Airbus A350-1000 and the Boeing 777-9 to support its next decade of capacity expansion.
The procurement discussions, reported by Reuters on June 4, 2026, follow the carrier’s record financial performance and come amid ongoing delivery delays for Boeing’s 777X program. A multi-billion-dollar order of this magnitude would provide a substantial backlog boost to either manufacturer while signaling the airline’s commitment to long-haul growth despite industry headwinds such as high fuel costs.
Fleet renewal and widebody competition
The negotiations center on the largest twin-engine aircraft currently available or in development. Singapore Airlines is weighing the Boeing 777-9, which features an approximate seat capacity of 400, against the Airbus A350-1000. According to the Reuters report, the exact split of the potential order remains undecided. The final agreement could result in a winner-take-all contract or a split purchase, and it may include options for dozens of additional airframes.
Industry sources indicate the talks could also serve as a gauge for a proposed larger variant of the A350. Airbus has previously floated the concept of an A350-2000 to compete more directly with the capacity of the Boeing 777X. Engaging with a premier long-haul operator like Singapore Airlines provides the European manufacturer with critical market feedback on the viability of the stretched design.
When asked about the negotiations, a Singapore Airlines spokesperson declined to confirm the specifics.
“[We] regularly review fleet renewal plans and decline to comment on any confidential discussions that we may or may not be having,” the spokesperson told Reuters.
Financial strength amid delivery delays
The airline enters these capital-intensive discussions from a position of significant financial strength. On May 14, 2026, SIA Group reported a record S$20.52 billion in revenue for the financial year ending March 31, 2026. The company also posted an operating profit of S$2.37 billion, representing a 39 percent year-over-year increase driven by robust travel demand.
While competitors have scaled back capacity expansion due to rising jet fuel prices, Singapore Airlines has publicly committed to continuing its growth trajectory. However, the carrier’s fleet planning must account for ongoing supply chain and certification challenges at the original equipment manufacturers.
Singapore Airlines is a longstanding operator of the Boeing 777 family and an early customer for the 777X program, holding firm orders for 31 of the 777-9 variant. The program has faced years of certification and production delays. Aviation Week reported in May 2026 that the airline does not expect to take delivery of its first 777-9 during the current fiscal year, which concludes on March 31, 2027.
AirPro News analysis
We view this potential 50-aircraft order as a critical leverage play by Singapore Airlines. The carrier is negotiating from a position of peak profitability while both Airbus and Boeing are eager to secure marquee widebody commitments. The ongoing delays to the Boeing 777X program place Boeing in a defensive posture, as the manufacturer needs to retain the confidence of its early launch customers.
Conversely, Airbus is utilizing these talks strategically. By floating the A350-2000 concept to Singapore Airlines, Airbus is testing the waters for a high-capacity twin-engine jet that could undercut the 777-9’s market dominance before the Boeing aircraft even enters commercial service. The outcome of these negotiations will likely influence the broader industry’s long-haul fleet strategies well into the 2030s.
Sources: Reuters, Singapore Airlines
Photo Credit: Singapore Airlines
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