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The national airline of Thailand has cancelled an order for eight Airbus aircraft.

Thai Airways, the state-owned national carrier, was due to purchase eight Airbus A330-300 aircraft but has decided to pull out, reports the Bangkok Post.

It is thought that the decision was made because the airline did not have sufficient information on how cost effective the planes would be.

This was confounded by perceived uncertainty about the firm's financial status and the future state of the airline industry in terms of competition.

The Bangkok Post reported a source from the transport ministry of Thailand as making these comments but problems with the A380 are also thought to be having a big effect.

An order of six of the super jumbos was made by Thai Airways but Airbus has been unable to deliver them on time.

It is now thought that officials are entering talks with Boeing to fill the gap left by the cancelled A330-300 order.

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