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General Electric Co, the world's biggest jet-engine maker, won an order worth US$220 million to power nine Shanghai Airlines Co planes, marking its second contract in China in as many days.

 

GE beat Rolls-Royce Group Plc for the order to power the carrier's new Boeing Co 787 Dreamliners. The jet deliveries will begin in June 2008, Fairfield, Connecticut-based GE said in a statement.

 

Chief Executive Officer Jeffrey Immelt is racking up sales in China with cleaner-burning turbines, Bloomberg News reported. In May, he predicted at least a 20 percent increase in companywide revenue from China this year, to US$6 billion. GE said last week that China Southern Airlines Co placed an order valued at about US$240 million.

 

Shanghai Airlines previously bought engines made by GE and its joint ventures to power Boeing 737s and Bombardier Inc's CRJ models. The Shanghai-based carrier had a choice of GE engines and London-based Rolls-Royce products for the 787. GE had won 123 of the 368 Boeing 787 models purchased industrywide before the Chinese orders were announced, according to Douglas Runte, an analyst with RBS Greenwich Capital Markets. Rolls-Royce had 120, and airlines with the remaining planes have yet to decide on an engine maker.

 

Shares of GE fell 1 cent to US$33.84 in New York Stock Exchange composite trading on Friday. Rolls-Royce gained 3 pence to 422.5 in London.

 

(Shanghai Daily August 28, 2006)