In 2023, Air India revealed its plan to buy 220 planes from the American company Boeing and 250 planes from European competitor Airbus.
On the afternoon of Wednesday, October 9th, Airbus revealed that a customer had made a huge aircraft order worth over $6 billion. Recent reports from sources like Reuters and Aviation Week have now confirmed that the buyer is Air India, the country’s national airline.
It’s not unusual for such purchases to be kept secret in the aviation industry. Airlines often do this, not only to protect their competitive edge but also to keep their fleet plans hidden from rival companies.
On October 10th, Air India was in mourning following the recent passing of Ratan Tata, the former chairman of the Tata Group, which owns the airline. Ratan Tata was a key figure in shaping India’s commercial aviation industry, leaving behind a lasting legacy.
A Period of Major Change and Organizational Shift is Coming
The purchase of 75 Airbus A320 planes and 10 long-distance Airbus A350 jets highlights the airline’s plans to expand its short, medium, and long-haul routes in the future.
Several sources have now suggested that Air India is the airline behind this mysterious order. This comes less than a year after the airline placed a large order for nearly 500 new planes from both Airbus and American manufacturer Boeing, as part of a long-awaited effort to completely upgrade its fleet.
The airline, which had kept several order options open after last year’s purchases from Airbus and Boeing, has now used up all of these options with the recent mystery order. This order was revealed by Airbus in its monthly update on October 10th. As reported by Simple Flying media house.
Following the death of 86-year-old Tata, who had been the long-time head of the Tata family, Air India’s parent company will now seek new leadership to guide its future direction.
Three Major Orders Set to Transform Air India
In 2023, Air India revealed its plan to buy 220 planes from the American company Boeing and 250 planes from European competitor Airbus. These new aircraft will significantly transform Air India’s fleet and include the following models:
- Boeing 787 Dreamliner
- Boeing 777X
- Boeing 737 MAX
- Airbus A320neo
- Airbus A321neo
- Airbus A350-900
- Airbus A350-1000
Both orders also came with options to buy more planes. According to Boeing, their order included options for about 70 additional aircraft.The airline used its 85 existing options for Airbus planes in the purchase announced yesterday. These include the following aircraft:
- Airbus A320neo: 75 ordered
- Airbus A350: 10 ordered
With its aging fleet, Air India’s major fleet upgrade will help lower operating costs by bringing in new, more fuel-efficient narrowbody and widebody planes.
Right now, Air India’s main competition comes from budget airline IndiGo, which has taken a large share of the domestic market with its low fares and is now looking to expand internationally.
Air India’s large order of fuel-efficient narrowbody planes shows its clear plan to compete with IndiGo in the domestic market. The airline aims to cut operating costs and lower ticket prices.
Additionally, with IndiGo recently ordering the Airbus A350 and planning for long-haul routes, Air India’s decision to buy more fuel-efficient widebody planes seems like a strategic response.
(The author of this article is a Defence, Aerospace & Political Analyst based in Bengaluru. He is also Director of ADD Engineering Components, India, Pvt. Ltd, a subsidiary of ADD Engineering GmbH, Germany. You can reach him at: [email protected])