The European aircraft manufacturer Airbus is likely to win more orders from the nation's airlines thanks to the French Prime Minister's four-day official visit to China that begins today.

The company is expected to sign a contract for five A380 airliners with China Southern Airline during Jean-Pierre Raffarin's stay in China, which will focus on bilateral economic and cultural ties, a well-placed source said yesterday.

Raffarin, who will travel to the capital Beijing, financial hub Shanghai and northeastern city of Shenyang, is expected to meet his Chinese counterpart Wen Jiabao in Beijing today. A batch of co-operative agreements and contracts are expected to be signed during the meeting.

"Airbus is also expected to announce plans to tighten industrial co-operation with its Chinese partners in the wake of Raffarin's arrival," the source said.

The manufacturer is likely to announce the setting up of an engineering centre in China.

In late January, Airbus signed the general terms of an agreement for delivery of the five 555-seat A380s in Paris with the Guangzhou-based carrier.

On the same day, its United States rival Boeing announced China will order 60 B787 Dream Liner planes worth more than US$7 billion.

Insiders say Airbus and Boeing, the world's leading aircraft manufacturers, are competing fiercely for the vast aviation market just three years before the Beijing Olympics.

"As the economy develops, China will become one of the biggest commercial aircraft markets in the next few years. The Beijing Olympics will provide a golden opportunity for the A380's entry," Laurence Barron, president of Airbus China, told reporters.

He said China's aviation market was the fastest-growing in the world, and China's potential is second only to the United States.

Air China, the nation's biggest airline company, is also considering introducing A380s to its fleet by leasing them.

Air China is negotiating the lease of two of the double-decker jets with the International Lease Finance Corporation, Barron was quoted by Beijing Youth Daily as saying.

Airbus expects the talks between the two sides to bear fruit, so that at least two Chinese carriers will be using A380s by 2008, he said.

Source: China Daily