Air China has agreed to purchase 20 Boeing 737-800s which will be delivered from 2013 to 2015.
The Chinese flag-carrier has detailed the agreement in a statement to the Hong Kong stock exchange.
It says the base price of the aircraft is almost $1.4 billion, although it adds that Boeing has granted "significant price concessions" for the jets.
The airline says these concessions are "comparable" to those which Air China obtained in a previous Boeing aircraft purchase agreement detailed in July 2008.
All 737-800s are powered by CFM International CFM56 engines.
Air China says it entered the purchase agreement today along with wholly-owned import and export subsidiary AIE.