Barron's guide to Airbus' China plan

Airbus sold its first plane to China in 1985, while Boeing had a 13-year head start. But the European company has steadily ramped up its fleet in China, with its market share increasing from 7 percent in 1995 to 35 percent at the end of last year. A close industrial partnership with the Chinese aviation industry is a key part of Airbus' strategy in China.The final assembly of Airbus A320 in Tianjin is "the logical next step" for Airbus' development in China, the company says.Laurence Barron, president of Airbus China, tells China Daily reporterLu Haotingmore on the project in this exclusive interview.

Q: How did you convince your headquarters and colleagues in Europe about the importance of the Chinese project at a time when Airbus is exercising the Power8 Plan, cutting costs and workforce?

A: It's important to understand that with Power8, we are not reducing our production capacity. The job cuts in Europe are not in the area of production. We are increasing our production right now. We produce 32 A320s a month and have committed to 36 a month. We are studying (the possibility of producing) 38 to even 40 a month. So we can't reduce the number of people working in the factories producing aircraft.The Tianjin project will be about production. We are not taking away jobs from Europe and transferring them to China. Production demand is growing bigger and the project will help us meet some of that demand.