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    1. Home
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    3. >Airbus bags Saudi order as Franco-Israeli dispute rocks air show
    Headlines

    Airbus Bags Saudi Order as Franco-Israeli Dispute Rocks Air Show

    Published by Global Banking & Finance Review®

    Posted on June 15, 2025

    3 min read

    Last updated: January 23, 2026

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    Quick Summary

    Airbus secures a $3.5 billion order from Saudi Arabia's AviLease at the Paris Airshow amid a Franco-Israeli dispute and Boeing's reduced presence.

    Airbus Secures $3.5 Billion Order from Saudi Arabia Amid Tensions

    By Giulia Segreti, Paul Sandle and Tim Hepher

    PARIS (Reuters) -Airbus bagged a $3.5 billion plane order from Saudi Arabia's AviLease on the opening day of the Paris Airshow on Monday, as a diplomatic dispute erupted over France's decision to shut down four Israeli stands for displaying deadly weapons.

    Delegates expect this year's iteration of the world's biggest aviation trade show to see less business than usual, partly due to last week's deadly crash of an Air India Boeing 787 and also because Boeing racked up huge deals during U.S. President Donald Trump's recent tour of the Middle East.

    But Airbus looks set to close a series of sales on its home turf, and interest in the defence side of the show is high as Europe ramps up military spending and conflict between Israel and Iran escalates.

    Tensions between long-standing allies France and Israel flared up as the show was getting underway, when Paris ordered the main four Israeli company stands to be closed down when they refused to remove offensive weapons from display.

    Israel's ministry of defence condemned the move as "outrageous and unprecedented" and accused France of trying to shield its companies from Israeli competition.

    The show organisers said they were holding talks to try to "find a favourable outcome to the situation".

    Boeing's CEO Kelly Ortberg and Commercial Airplanes boss Stephanie Pope have cancelled their trip to Paris and the U.S. company is scaling back its schedule at the event as it focuses on supporting the probe into last week's Air India crash that killed more than 240 people and was the first for its 787 model.

    Another Air India Boeing 787 bound for New Delhi returned to its origin of Hong Kong as a precautionary measure on Monday after a technical issue was suspected mid-air.

    But Airbus was busy at the show working on deals.

    Saudi leasing company AviLease said on Monday it had ordered 30 Airbus A320neo single-aisle jets and 10 A350 freighters in its first direct deal with the European planemaker.

    That would be worth around $3.5 billion, according to estimated prices from analysts Cirium Ascend. The two companies did not give a value for the deal, which could increase to 77 jets if AviLease exercises options to buy more of both models.

    Two people familiar with the matter also told Reuters that Polish airline LOT was poised to announce an order for 40 Airbus A220 plus options for a further 44 aircraft.

    Brazil's Embraer had pushed hard for that deal, sources said. None of the parties agreed to comment.

    Airbus is also the front-runner against the same planemaker for a potential order for dozens of A220 jets from AirAsia, sources said.

    (Reporting by Joe Brock, Tim Hepher, Paul Sandle, Giulia Segreti. Additional reporting by Steven Scheer in Jerusalem. Editing by Mark Potter)

    Key Takeaways

    • •Airbus secures a $3.5 billion order from Saudi Arabia's AviLease.
    • •Tensions rise at the Paris Airshow due to a Franco-Israeli dispute.
    • •Boeing scales back presence following Air India crash.
    • •AviLease orders 30 A320neo and 10 A350 freighters.
    • •Potential new orders from Polish airline LOT and AirAsia.

    Frequently Asked Questions about Airbus bags Saudi order as Franco-Israeli dispute rocks air show

    1What was the value of the order Airbus received from AviLease?

    Airbus secured a $3.5 billion order from Saudi Arabia's AviLease for 30 A320neo jets and 10 A350 freighters.

    2Why did tensions arise at the Paris Airshow?

    Tensions flared between France and Israel when Paris ordered the closure of Israeli company stands at the airshow, leading to accusations from Israel's ministry of defense.

    3Which other airline is expected to announce an order at the airshow?

    Polish airline LOT is poised to announce an order for 40 Airbus A220 jets, with options for an additional 44 aircraft.

    4How did the recent Air India crash affect the airshow?

    Delegates expected this year's airshow to see less business than usual partly due to the recent deadly crash of an Air India Boeing 787.

    5What is the significance of the Airbus order for the aviation market?

    The order from AviLease marks a significant deal for Airbus as it showcases strong demand for its aircraft amidst geopolitical tensions and competition.

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