PARIS Airbus is not looking to launch a stretched version of its A220 jet in the current environment, the planemaker said on Wednesday, knocking down speculation of a launch at the Paris Airshow.

A future version of the 110-130-seat small passenger plane has been on the horizon for some time and an Airbus spokesperson reiterated that it was a matter of "when not if".

"But right now, the A220-100 and A220-300 are priority and we're not looking to launch a new sub-model in the current environment," the spokesperson added.

Speculation of an imminent launch circulated on Wednesday after some media highlighted a Bank of America note suggesting Airbus would launch the new sub-model at the June 19-25 air show.

The Airbus spokesperson did not discuss a specific event, but two industry sources ruled out an air show announcement.

A larger version of the loss-making A220 program, acquired from Canada's Bombardier in 2018, would help lower total A220 production costs but eat into a market currently served by the 150-seat A320neo, a core part of Airbus's narrow-body family.

Most industry sources expect an A220-500 launch to be closer to the middle of the decade.

Airbus Chief Executive Guillaume Faury has meanwhile indicated that resolving industrial delays is the planemaker's top priority amid continued pressure on small suppliers.

(Reporting by Tim Hepher; Editing by Aurora Ellis)