Bombardier received an firm order for four moreGlobal 7500 aircraft from Hong Kong based HK Bellawings, adding on to a previous LOI for Global 6500 and Global 7500 aircraft. This order comes as the Global 7500 is making its debut at ABACE in Shanghai.
HK Bellawings announced their intent to purchase up to 18 Global 6500 and Global 7500 aircraft last year at EBACE in Geneva. Khader Mattar, VP Sales for Middle East, Africa, Asia Pacific and China, said “We are proud to announce this firm order as the Global 7500 makes its public debut at ABACE, one of the world’s most important aerospace exhibitions. Our flagship jet has been causing a sensation since entering service less than four months ago, and this order underscores that this aircraft, with its unparalleled range and four true living spaces, is ideal for the Greater China region.
Bombardier also announced an expansion of its service and support capabilities in China at its Tianjin maintenance center. That center has achieved authorized status from Rolls Royce, GE and Honeywell, and is certified to repair Challenger and Global aircraft registered in the EU, US, Canada, Bermuda, Cayman Islands, Aruba, Qatar, Isle of Man, San Marino, and Guernsey.
The Global 7500 has leapfrogged the G650LR in terms of both cabin size and range, and represents the “latest and greatest” on the tarmac in the business jet world. With additional support in China, Bombardier is targeting both the Chinese and Asia-Pacific markets with its latest model in an effort to gain market share from Gulfstream.
With the forthcoming Global 5500 and 6500 models also matching up well with the recently introduced G500 and forthcoming G600 models from Gulfstream.
The top end of the business aviation markets also generates the highest margins per airplane, and Gulfstream and Bombardier have been competing at the top of the market for quite some time. Bombardier has upped the ante in this contest with the introduction of the Global 7500, which is larger than the competing Gulfstream G650LR and has longer range.
While we expect both aircraft to continue to sell quite well, Bombardier is making a move at the high end of the market that should see it gain a bit of market share over the next few of years. This battle will become even more interesting as the chess moves play out over the next decade, and the game of leapfrog continues.