Airbus is nearing a decision to axe production of the world’s largest airliner and may give an update with full-year earnings tomorrow, aviation analysts have said.

The fate of the A380 superjumbo has been in doubt since a vital order from Emirates foundered over inconclusive engine talks, forcing Airbus and the airline to weigh an alternative plan that would trigger a premature halt to A380 production.

Under the proposed reshuffle, first reported by Reuters, Airbus hopes to broker a deal that would see Emirates switch part of its order to smaller models like the A350 or A330, while eking out a few last-minute A380 orders from British Airways.

The timing of any final announcement may be driven by the outcome of those talks, but Airbus will be under pressure to provide some clarity on its plans in time for Thursday’s earnings following mounting speculation over the plane’s future.

Agency Partners analyst Sash Tusa, who predicted last week that a decision to shut the loss-making programme may be imminent, said: ‘The A380 is the elephant in the hangar; it will be impossible to avoid saying something on the subject.’

The A380 is already on life support due to weak sales.

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