Xiamen Airlines (MF, Xiamen) is in talks with Airbus (AIB, Toulouse Blagnac) over a potential A321neo order, sources familiar with developments have told Bloomberg.

According to the report, the talks have focussed on the European manufacturer's Long Range (LR) variant of the A321neo. However, the negotiations are said to have begun in May but are said to be still in their early stages with a potential order yet to be determined.

An airline spokeswoman later denied Xiamen Airlines having any plans to order Airbus aircraft.

The discussions come at a time when Sino-US ties are under increasing strain owing to a worsening trade war between the globe's two largest economies. As such, an Airbus order would mark a break with Xiamen Airlines' previous strategy of pursuing an all-Boeing (BOE, Washington National) fleet.

At present, it operates seven B737-700s, eight B737-8s, 139 B737-800s, four B757-200s, six B787-8s, and six -9s.