Air India Rejigs its Mega Order with Airbus, Prioritising A321neo and A350-1000 Models

Making alternation in its extensive order of 250 aircrafts with Airbus, Air India, under Tata Group ownership has made adjustments in the quantities of A321neo and A350-900.

The new order has decreased the number of  A320neo and A350-1000 planes, keeping the total order size of 250 aircraft constant, New order includes 140 A321neo aircraft, compared to the previous 70, and 70 A320neo planes, less from the earlier 140. Regarding the 40 wide-body planes ordered from Airbus, the airline has now adopted a 50:50 distribution, with 20 units each of A350-900 and A350-1000 aircraft. 

Air India is placing a greater emphasis on A321neo models. The A321neo order might include A321LR (long-range) and A321XLR (extra-long-range) aircraft, allowing Air India to operate narrow-body flights to destinations beyond the capabilities of its current fleet. Airbus does not provide specific subtype information for its A321neo range.

In the aviation industry, wide-body planes are typically employed for long-haul and ultra-long-haul flights, while narrow-body aircraft are predominantly used for domestic flights and can also cover short- and medium-haul international routes. The A321neo, with its enhanced passenger capacity and extended range compared to the A320neo, is well-suited for diverse operational requirements. Similarly, the A350-1000 exceeds the A350-900 in both passenger capacity and range.

Air India is placing a greater emphasis on A321neo models. The A321neo order might include A321LR (long-range) and A321XLR (extra-long-range) aircraft,

According to an airline spokesperson, they routinely evaluate their orderbook, making adjustments based on business needs and opportunities. "We regularly review our orderbook based on business requirements and opportunities, and exercise contractual flexibilities as appropriate," stated the spokesperson. 

Airbus, when approached for comments, remarked, "It is up to our customers to disclose their strategy." The Tata Group assumed control of the financially challenged Air India in January 2022.

Earlier this year, Air India finalised orders for 470 aircraft from Airbus and Boeing, valued at $70 billion based on published list prices. The Boeing aircraft order includes 190 Boeing 737 MAX narrowbody planes, 20 Boeing 787 Dreamliners, and 10 Boeing 777X.

The collective order for 470 planes was publicly disclosed on February 14, with formal purchase agreements between Air India and the two aircraft manufacturers being finalised in June during the Paris Air Show. In addition to the 470 planes constituting the firm order, the agreements include options for another 370 planes—300 from Airbus and 70 from Boeing.

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