Airbus plans to lift A320 production increase

TOULOUSE, May 14 (Gulfnews): Airbus is poised to further lift production of its bestselling A320 jet series as airlines seek more fuel-efficient aircraft amid rising oil prices, helping the manufacturer fund construction of larger planes. Airbus, the world's largest commercial aircraft maker, is already moving toward producing 40 single-aisle planes a month by next year, and a decision will come "shortly" whether to further boost the rate, Airbus parent European Aeronautic, Defence and Space Company said Thursday. Airbus' A320 series competes with Boeing's 737, the world's most widely used aircraft. "What makes it so difficult to take the decision is, clearly we need to deliver on this ramp-up, which is challenging, and we're depending on our supply chain," EADS Chief Financial Officer Hans Peter Ring told journalists on a call. "So we need to move carefully." The A320 and Boeing 737 are the workhorses of the airline industry and the main generators of revenue at Airbus, helping finance production and development of the new A350 widebody model. EADS reiterated that it plans to start assembling the A350 by the end of 2011 and have it in service two years later, cautioning that the programme remains challenging. EADS has pushed back the planned first delivery, to Qatar Airways, by several months to late 2013. The A350 will compete with Boeing's 777, operating since 1995, and the US company's smaller 787 model, which is running three and a half years behind schedule.