Air India placed a historic order to expand its fleet as it makes an effort to move to the forefront in commercial aviation once more. While the airline has yet to make a formal announcement, it's serious about growing its fleet in addition to replacing older aircraft to meet the needs of travelers.
Special Delhi-very
Credible sources are reporting that Air India placed an order back in September for 85 new Airbus aircraft. In this order, the airline would receive 75 A320neo and 10 A350 aircraft. This order has a price tag of $6.3 billion with discounts.
On Airbus invoices, this order was placed by an "undisclosed" customer, as airlines don't want their orders leaked before official announcements are made. Bloomberg is now reporting that Air India is that customer, with this claim backed by three insiders with close ties to the airline.
Bloomberg is also stating that there are "exercising options" in the deal for the airline to order even more aircraft if need be.
Back in February 2023, Air India announced it would order 470 new aircraft, including 250 form Airbus. At the time, it was the biggest transaction involving commercial aircraft. This massive order involved 140 A320neo, 70 A321neo, 34 A350-1000, and six A350-900 planes. The remaining 220 aircraft are from Boeing.
With this recent purchase, Air India has ordered a total of 555 aircraft in just 20 months.
With Air India being managed by the Tata Group, this new discovery comes just one day after the death of Chairman and aviation visionary Ratan Tata. He was 86 at the time of his passing.
Airbus and Air India have declined to comment to media regarding the transaction at this time. An Airbus spokesman reiterates that the company doesn't publicly comment on any orders or discussions with customers.
More Planes On The Way?
Air India might not be done with placing new plane orders, however. Two of the three anonymous insiders state that the airline might place a supplementary order with Boeing.
Boeing, however, has had its hands full with production mishaps and significant delivery delays that have contributed to major financial losses over the years. While airlines still embrace Boeing as a key partner in air travel, Emirates has decided to skip on waiting for new aircraft and have purchased used Airbus jets from owners and lessees.
Representatives from Boeing have not responded to questions regarding a rumored order from Air India.
Air India is looking to usurp IndiGo as the national top airline. IndiGo currently has over 375 aircraft and is waiting on a whopping 950 more placed on order from manufacturers. Both airlines are looking to meet increasing demands for air travel across India and abroad.
Starting November 12, Air India and Vistara will fly as one carrier following a merger by the Tata Group.