India’s former state-owned airline, Air India, may soon place another multi-billion dollar order. After previously ordering hundreds of narrowbody aircraft, the airline now appears to be shifting focus to long-haul destinations.
Air India is in talks with aircraft manufacturers Boeing and Airbus over a potential multi-billion dollar order for dozens of widebody aircraft, according to multiple industry sources cited by Reuters. The move is part of the transformation of the former state-owned airline under its new owner, the Tata Group.
The discussions involve the possible purchase of 30 to 40 aircraft, split between different variants of the Airbus A350 and the Boeing 777X. Details have not yet been finalized, but more information is expected closer to the Paris Air Show in June. Air India declined to comment on the speculation, and both Boeing and Airbus also refused to provide a statement.
Long-Haul Focus
The potential new multi-billion dollar order would add to Air India’s massive 2023 purchase of 470 aircraft from both Boeing and Airbus, plus an additional 100 Airbus aircraft ordered last year. These earlier orders were mostly narrowbody jets for domestic and regional routes. With the new widebody aircraft, Air India aims to compete globally with major long-haul carriers. The airline currently has 50 Airbus A350s, 10 Boeing 777Xs, and 20 Boeing 787 Dreamliners on order.
In addition to expanding its presence in the domestic market, Air India is looking to regain international market share from competitors such as Emirates, Lufthansa, and Turkish Airlines. Indian carriers currently account for only about 43 percent of outbound international passenger traffic from India.