Hong Kong Airlines is expected to drop an order for ten A380-800s originally placed in late-2011.
Local sources stated that the carrier's decision was triggered by an order for 40 A320neo and 30 A321neo placed by HNA Group sister firm, Hong Kong Aviation Capital, at the recent Farnborough International Airshow.
Airbus insists that Hong Kong Airlines's A380 order is still valid despite its order backlog now indicating it as going to an "undisclosed customer."
The order, which would have seen the first A380 arriving next year, has been under pressure for some time. Its status as a firm order means that Airbus will keep the deposit.
In mid-2012, the carrier threatened to drop the order following an EU decision to levy a carbon-emissions taxation scheme onto international carriers. Later in 2012, Hong Kong Airlines president Yang Jianhong said that his airline was considering converting five of its A380s into smaller A330s, amid what was at the time a sharp decline in demand for long-haul traffic.