Air India order boosts A350-1000 programme | News | Airfinance Journal

Air India order boosts A350-1000 programme

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Airbus has confirmed a 250 aircraft commitment from Tata Group-owned Air India to boost its domestic and international operations.

The commitment includes 140 A320neo and 70 A321neo aircraft as well as six A350-900s and 34 A350-1000s.

The A350-1000 model recorded 140 orders as of 31 January, with 69 aircraft delivered to customers.

Etihad Airways was the largest customer with 20 aircraft ordered followed by Qatar Airways with 19, British Airways and Cathay Pacific Airways with 18 units each. Cathay Pacific Airways and Qatar Airways have received all of their aircraft.

In 2022, Airbus recorded Qantas Airways as the only new customer with 12 aircraft and the OEM delivered 10 aircraft to customers.

Deliveries are set to commence with the first A350-900 arriving by late 2023, says the European manufacturer.

The order aims to both modernise and expand the airline’s fleet and create a larger and premium full-service carrier that will cater to the growing travel demand in the region.

“Airbus has been a longstanding partner of Air India, and these new aircraft will play an important part in delivering Vihaan.AI, Air India’s comprehensive transformation and growth strategy,” commented Campbell Wilson, chief executive officer and managing director, Air India.

“A core element of this transformation is the significant expansion of our network, both domestically and internationally, coupled with the elevation of our on-ground and onboard product to world-class standards. This order marks the start of a new chapter for both Airbus and Air India.”

“This is a historic moment for Airbus and for Air India. India is on the verge of an international air travel revolution and we are honoured that our partnership with the Tatas and our aircraft solutions will write that new chapter for the country’s air-connectivity,” said Christian Scherer, Airbus chief commercial officer and head of international.

Airbus says over the next decade, India will grow to have the largest population in the world, its economy will expand the fastest among the G20 nations. As a result, passenger traffic in India will grow fast, including on the long-range markets in the U.S., Europe and Asia-Pacific that the A350 is well positioned to serve.

Air India has committed to 190 737 Boeing Max 8/10s, 20 787-9 and 10 777-9 aircraft to address South Asia’s growing market for domestic and international air travel.

The agreement between Boeing and Air India includes for 50 737 Max and 20 787-9 units. When finalised, this will be the largest Boeing order in South Asia and a historic milestone in the aerospace company's nearly 90-year partnership with the carrier.

"This acquisition of nearly 300, highly advanced Boeing jets is a core element of Vihaan.AI, the comprehensive transformation and growth strategy we are pursuing at Air India," said Air India’s Wilson. "These new airplanes will enable us to dramatically expand our network, both domestically and internationally, and will come with a completely new, world-class onboard product enabling passengers to travel in the highest levels of comfort and safety. With this order, we are delighted to take our long relationship with Boeing to a new level."

"Air India's selection of Boeing's family of passenger jets shows their confidence in our products and services in the world's fastest growing aviation market, and their decision will support engineering and manufacturing jobs at Boeing factories in Washington state, South Carolina and across our supply base," said Stan Deal, president and chief executive officer of Boeing Commercial Airplanes. "With the industry-leading fuel efficiency of the 737 Max, 787 Dreamliner and 777X, Air India is well positioned to achieve its expansion plans and become a world-class global airline with an Indian heart."

CFM International announced that Air India has committed to 800 LEAP engines, including 420 LEAP-1A, 380 LEAP-1B, as well as some spares. Air India also signed a CFM services contract.

The Rolls-Royce Trent XWB will equip the A350 fleet,

Air India signed a firm order for 40 GEnx-1B and 20 GE9X engines, plus a multi-year TrueChoice engine services agreement, to power its 787/777 fleets.

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Transaction Snapshot
Air Company | Bond issue | 01-24 | $1.5bn
Financial Close:
11/02/2024
SPV:
Some Aviation Trust
Value:
$1,500.00m USD
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