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As Bangladesh eyes fleet expansion, European envoys push Airbus with trade leverage, strategic partnerships

Reminding Dhaka of billions in exports to Europe, LDC graduation, duty-free UK access, and long-standing partnerships, four European ambassadors are pressing for Airbus to be "fairly considered" in Biman’s aircraft procurement talks

European pressure mounts for Airbus sale

Senior Correspondent

bdnews24.com

Published : 05 Nov 2025, 02:37 AM

Updated : 05 Nov 2025, 02:37 AM

As Bangladesh prepares to procure new aircraft for its flag carrier, European nations are stepping up pressure on the government. At the heart of the conversation is Airbus, the European aerospace titan, which is now being actively pushed by four key European envoys -- those of the United Kingdom, France, Germany, and the European Union -- in ongoing discussions with Dhaka

At a high-level dialogue on Tuesday at the French Embassy in Dhaka, the ambassadors underscored the importance of granting Airbus “reasonable consideration” in the aircraft procurement process for Biman Bangladesh Airlines.

They reminded the government of Bangladesh's long-standing trade and political relationships with Europe, ranging from billions of euros in exports, to LDC graduation, to duty-free access to the UK market, and a legacy of development cooperation.

AVIATION, TRADE AND STRATEGIC LEVERAGE

EU Ambassador Michael Miller stressed the EU’s right to representation at Bangladesh’s aviation negotiation table.

“Bangladesh’s aviation sector holds tremendous growth potential. The European Union must have a place at that table,” he said.

He appealed to the government to ensure a level playing field, where European firms can compete on commercial merit, a not-so-subtle reference to earlier decisions favouring American aerospace giant Boeing.

In July, the interim government announced plans to purchase 25 aircraft from Boeing, a move seen as a strategic alignment with Washington amid pressure from US President Donald Trump to correct trade imbalances.

This abrupt announcement revisited earlier, stalled commitments to Airbus, made during the previous Awami League government, to purchase 10 wide-body aircraft.

With that window narrowing, Europe has mounted a diplomatic counteroffensive.

Following a June meeting between Airbus Executive Vice President Wouter van Wersch and interim head Muhammad Yunus in the UK, Airbus has since maintained consistent high-level engagement with Bangladeshi officials.

Despite these efforts, aviation insiders have raised concerns about procedural opacity. Biman, the intended end user, has reportedly been excluded from key decisions, contravening global aviation norms where such acquisitions typically begin with the operator.

The situation culminated in a joint platform titled “European Ambassadors’ Dialogue on Bangladesh Aviation Growth”, where Airbus representatives and the four ambassadors made their case publicly.

A common refrain in aviation circles is that mixed fleets, using both Boeing and Airbus aircraft, can complicate maintenance and operations. Addressing this issue, British High Commissioner Sarah Cooke challenged that narrative directly.

“We’ve already seen the value of diversity. Dynamic markets like Indonesia, Vietnam, and Japan have shown that a mixed fleet strategy can bring both operational and commercial advantages,” she said.

Cooke also expressed hope that current discussions on aviation partnership would proceed in a “free and fair” manner, calling for transparent cooperation that prioritises mutual economic benefit.

She emphasised the UK’s role as a major investor in Bangladesh and a primary destination for Bangladeshi exports. Under the Developing Countries Trading Scheme (DCTS), Bangladesh will retain duty-free access to the UK market until 2029, covering 98 percent of its exports, including the all-important garment sector.

“We’ve supported Bangladesh’s economic reforms and invested in improving its business climate. Now, we want to explore new sectors—aviation being one of them,” she said.

“Airbus can play a central role in turning Bangladesh into a regional aviation hub, and the UK is ready to assist in that journey.”

THE EU’S CASE

EU Ambassador Miller also hinted at a forthcoming EU-Bangladesh Partnership and Cooperation Agreement, which he described as “closer than ever” to being finalised. He shared the latest trade figures.

“In 2024, EU-Bangladesh trade reached €22.2 billion, with the EU recording a trade deficit of €17.5 billion—the largest trade gap the EU has with any of its partners.”

He reaffirmed the EU’s commitment to ensuring a “smooth LDC graduation” for Bangladesh and reiterated that the country will be eligible to apply for GSP+ tariff preferences under the EU’s next trade scheme.

“The GSP+ and our forthcoming cooperation agreement open new horizons. We call on Bangladesh to approach this partnership with transparency and a commitment to fair competition.”

“Simply put, we request that EU businesses be allowed to compete on commercial merit, without being disadvantaged relative to other trading partners,” he said.

Miller concluded with a firm reminder, saying: “Bangladesh’s aviation sector is poised for major growth. The European Union deserves a rightful place in shaping that future.”

FRANCE: AIRBUS SYMBOLISES EUROPEAN EXCELLENCE

French Ambassador Jean-Marc Séré-Charlet underscored Airbus’s dual identity, as both a technological innovator and a symbol of European industrial prowess.

“Airbus is at the heart of France and Europe’s aviation sector. Its blend of technical capability and innovation makes it not only a flagship of European excellence but also a trusted partner to airlines worldwide.”

He noted Bangladesh’s strategic location, growing air traffic, and rising connectivity needs as strong factors favouring its emergence as a regional aviation hub.

“In this context, Airbus has presented a comprehensive and competitive solution to support Bangladesh’s transformation,” the French envoy added.

He also revealed strong interest from European export credit agencies, who have already expressed willingness to finance an Airbus deal, backed firmly by France and its European partners.

GERMANY HIGHLIGHTS GREEN AVIATION

German Ambassador Rüdiger Lotz praised Airbus’s environmental credentials, citing its cutting-edge green aviation technology.

“From a sustainability and technological standpoint," he said, "Airbus represents the most advanced option. If Bangladesh wants to become an aviation hub, this may be its smartest choice.”

AIRBUS MAKES ITS PITCH

After the diplomats spoke, Airbus officials took the floor, with Bangladesh Country Director Rafael Gomez Nea and Monal Sheth, marketing head for India and South Asia, leading the presentation. They also fielded questions from journalists.

Gomez noted Airbus’s global footprint. “To date, Airbus has received 25,129 aircraft orders from over 450 customers worldwide. Of these, 16,470 have been delivered, while 8,659 remain on the order books.”

He added that even if Bangladesh were to place an order immediately, actual delivery would take several years, due to global backlog and production timelines.

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