German flagship carrier Lufthansa has made a significant move in aviation by placing a $9 billion order for 80 planes from Boeing and Airbus. This order, set to be delivered between 2026 and 2032, includes 40 Boeing 737 MAX 8 planes and 40 Airbus A220-300s, along with options for additional future purchases.

The deal marks a historic moment for Lufthansa, as it's their first acquisition of Boeing narrow-body planes in three decades and the first purchase of the 737 MAX model. This decision reflects a strategic move by the airline to diversify its fleet and enhance its service offerings. Lufthansa's relationship with Boeing dates back to the late 1960s when they were a launch customer for an older version of the 737. However, after phasing out the 737 in 2016, the airline has maintained an all-Airbus single-aisle fleet until now.

The order also includes future purchasing options: 60 for the MAX 8, 20 for the A220, and 40 options for Airbus A320s. Lufthansa has a history of purchasing Boeing wide-body aircraft, with 787 Dreamliners, 777 freighters, and the upcoming 777X mini-jumbo already in its backlog.

This move by Lufthansa is also a significant boost for the Airbus A220, formerly known as the Bombardier CSeries. Lufthansa was the original launch customer for this aircraft in 2008, before Airbus acquired the program in 2018.

Carsten Spohr, Lufthansa CEO, stated that ordering Boeing 737 aircraft again is a strategic decision, especially considering the MAX 8’s alignment with the company’s carbon reduction goals. He also highlighted Lufthansa's ongoing relationship with Airbus, noting the delivery of their 600th Airbus aircraft and anticipation of the 700th.

The announcement positively impacted the stock market, with Boeing shares up 1.6% and Airbus up 0.6%. Lufthansa plans to finance this purchase through net investments of €2.5-3 billion in 2023 and a similar amount in 2024, without significantly impacting capital expenditure during these years.