Airbus is planning to build its first factory in the United States.
The European planemaker is investing $US600 million in the plant which is due to open in Alabama in 2016. It is expected to create 1000 jobs.
Airbus will build the A320 plane there, which is popular with American airlines.
Chief executive Fabrice Bregier says it hopes the move will help it take market share from Boeing.
Airbus currently has 20% of the market in the narrow body jet sector in the United States, compared with 53% of the market worldwide.