AIR INDIA SPREADS WINGS, PLACES A FIRM ORDER OF 100 MORE AIRCRAFT WITH AIRBUS | Mint

Tata Sons owned Air India has spread its wings further by placing a firm order of 100 more aircraft with Airbus. The firm order comprises a mix of 90 narrow body A320 family aircraft including A321 & 10 widebody A350 aircraft. With the firm order of 100 more aircraft, Air India’s total order book now stands at 570 aircraft, which has overshadowed IndiGo’s previous order of 500 aircraft. As per experts, the new deliveries are expected to commence after 2027. 

In 2023, Air India placed an order of 470 aircraft with Boeing & Airbus worth $70 billion, which consisted of a good mix of both narrow body & wide body aircraft. Air India’s order book with Airbus now stands at 350 aircraft, up from 250. Air India’s order  will give a big boost not only to its international long haul plans but also a boost to its domestic coverage. 

While India’s aviation market is heading towards a duopoly, the firm order by Air India will not only give a boost to the airline’s fleet, but it will also lead to an intense competition in the Indian skies. Experts believe that a resurgent Air India could give all airlines a tough competition. 

Sanjay Lazar, Aviation expert & CEO Avialaz Consultants said, “Air India’s firm order of 100 more aircraft with Airbus has signalled Air India’s aggressive intent to take the battle for the skies to its rivals.The airline’s point to point vision for Vihaan.AI is clear & hence the long haul market is key for Air India’s international dominance. The enhanced A350 order may be just what AI needed.” 

Another expert & President of TAFI Ajay Prakash is bullish about Air India’s future. He said, “Air India will give every airline a run for its money as they get their act together. Air India in the next 2 years will give everyone a tough competition.”

In a statement N. Chandrasekaran, Chairman, Tata Sons and Air India, said, “We see a clear case for Air India to expand its future fleet beyond the firm orders of the 470 aircraft placed last year. These additional 100 Airbus aircraft will help to position Air India on the path to greater growth and contribute to our mission of building Air India into a world-class airline that connects India to every corner of the world.”

HOW THINGS CURRENTLY STAND 

Air India group is in the middle of its five-year transformative journey called Vihaan.AI. As per the plan, the group is in its third phase or ‘the climb phase’, which commenced in April 2024 and will end in March 2027. The group is confident about the passenger demand in calendar year 2025, and believes that 2025 will be a year in which the airline will put all pieces together that it worked on in the last two years.

On 12 November, Air India completed its much-awaited merger with Vistara to create an integrated airline, partly owned by Singapore Airlines, that will be flying 120,000 passengers daily and connect more than 90 destinations. The completion of the amalgamation, which was announced in November 2022, came within six weeks of the integration of Air India Express and AIX Connect.

Currently Air India group has 300 aircraft in its fleet and it plans to have a fleet of total 400 aircraft by 2027. Currently the group operates 8300 flights per week and flies 9 lakh passengers weekly. The group has flights to 55 domestic and 48 international destinations.