Boeing wins order for 21 MAX jets for Japan Airlines

There has been an agreement struck between Boeing Co BA-N -2.36% and Japan Airlines Co (JAL), which will see 21 of Boeing Co's 737 Max jets sold to Japanese airline for a price that is at least $2.5-billion at list prices.

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Following the beginning of this month's negotiations to renew the fleet of narrow-body aircraft, they said that the deal would be revealed on Thursday.

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Boeing refused to comment. JAL said that it was "examining this problem," but a spokesman representing the airline declined to further.

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JAL, which primarily owns Boeing aircraft and has used the 737-800 as its primary narrow-body aircraft, is expected to place the first order for the 737 Max under the terms of the arrangement. That comes after an order for 20 Max aircraft from All Nippon Airlines that was completed in July following a two-year delay due to the 737 Max safety issue.

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In the past, Boeing has had a monopoly on sales to Japan. Yet, Airbus has made progress over the past ten years. Most notably, JAL ordered wide-body A350 aircraft in 2013, as Boeing struggled to resolve a battery issue with its 787 Dreamliner.

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Boeing worked to guarantee that the Max gained a presence in the mainline fleet of Japan's national carrier despite the Peach unit of ANA and Jetstar Japan operating Airbus single-aisle A320s.