Airbus Expands Defence Footprint in Toulouse While A321XLR Joins United's Fleet

Airbus modernises its Toulouse Defence and Space site, plans A320 output of 70-75 monthly by end-2027 and reaffirms about 870 deliveries for 2026.

Airbus has launched a sweeping modernisation programme across its Defence and Space division in Toulouse, committing tens of millions of euros to overhaul facilities that house roughly 5,000 employees in the southern French city. The investment, which the company says is independent of the Bromo merger project, aims to sharpen working conditions and draw future engineering talent to the aerospace and defence group.

Under the plans, a second catering facility and a new metro stop at Parc du Canal are slated for completion by the end of 2027, with the Aerospace Campus scheduled to open toward the end of 2028. The overhaul builds on last year's decision to shift OneWeb satellite serial production from Florida back to Toulouse.

Civil Order Book Underpins Long-Term Output

The defence investment runs alongside a commercial aircraft business enjoying strong tailwinds. Group revenue climbed 12 percent to EUR 33.2 billion in the first half of 2026, producing a billion-euro profit even as advance payments tied to production ramp-ups temporarily weighed on free cash flow.

A backlog of 9,222 commercial aircraft provides the factories with a durable baseline of work. To meet global demand, Airbus intends to lift monthly output of the A320 family to between 70 and 75 jets by the end of 2027 — a ramp-up that continues to demand heavy lifting from suppliers.

Capacity is being added on several fronts. On 21 September, the company confirmed it would convert a former A380 wing production site in Broughton, UK, into an A321 manufacturing line, a move that has already generated around 480 new jobs at the Welsh facility in 2026. Three days earlier, on 16 September, the first A320-family jet rolled out of the second final assembly line in Tianjin, China, and was handed to China Eastern Airlines. A new delivery centre at the Jean-Luc Lagardère site in Toulouse opened on 14 September to support the industrial ramp-up.

Delivery Target Held Despite Fuselage Issue

Management sees no softening of aircraft demand, according to a Reuters report on 15 September, even as geopolitical tensions and supply-chain strains persist. Deliveries through mid-September ran nine percent ahead of the prior-year period, and on Friday the company reaffirmed its full-year target of roughly 870 commercial aircraft for 2026.

That goal comes with a caveat. Airbus has acknowledged a quality defect in the fuselage structure of the A321neo affecting about 500 aircraft. The company confirmed and delineated the issue on Thursday, stressing that flight safety is unaffected and the jets can remain in regular service. A technical remedy has already been defined, according to the manufacturer.

A321XLR Handover and A350F Milestone

Programme milestones are stacking up in parallel. United Airlines took delivery of its first A321XLR on Sunday, powered by Pratt & Whitney GTF Advantage engines — the latest single-aisle long-haul model reaching yet another carrier. On the widebody side, Airbus is preparing the maiden flight of the A350F freighter, with prototype F-WXLD, for Tuesday. The aircraft completed a high-speed rejected takeoff as planned on Friday. Certification by European and US regulators is targeted for mid-2027, ahead of first deliveries to cargo customers by the end of 2027.

In the military arena, Airbus plans to submit an unsolicited offer to Portugal in late October or early November, according to Reuters, proposing Eurofighter Typhoon jets to replace the country's F-16 fleet.

Investors took the news in stride. The Airbus share closed Friday at EUR 194.10, a modest 0.7 percent daily decline, leaving the stock 12 percent below its 52-week high.