(Reuters) -Singapore-based BOC Aviation ( BCVVF ) said on Monday that it will purchase 120 aircraft from Boeing ( BA ) and Airbus as part of its plan to expand its fleet to 1,000 by the end of the decade.

BOC Aviation ( BCVVF ), majority-owned by the Bank of China, will buy 70 A320NEO family aircraft from Airbus and 50 737-8 jets from Boeing ( BA ).

The deal underscores the increasing demand for narrowbody aircraft as global travel surges, though production challenges, including workers' strike, regulatory scrutiny, and supply pressures, threaten to cause delivery delays.

Boeing ( BA ) and BOC Aviation ( BCVVF ) did not disclose the details of the deal, while Airbus did not immediately respond to a Reuters request for comment.

"With this transaction, we have commitments to purchase over 140 of these (Boeing 737-8) aircraft, which is the largest Boeing ( BA ) orderbook position in our history," BOC Aviation ( BCVVF ) CEO Steven Townend said in an official statement from Boeing ( BA ) late on Sunday.

BOC Aviation ( BCVVF ) planned to grow its fleet to 1,000 planes by 2030, as Townend told The Business Times last September. As of the end of 2024, it owned and managed 709 aircraft.

The lessor said the aircraft from Boeing ( BA ) are scheduled for delivery through 2031, while the Airbus aircraft will be delivered through 2032.