New Delhi: Air India of Tata Sons has finalized the order to buy 500 aircraft. The order includes 430 narrowbodies and 70 widebody aircraft. They will be delivered over the next seven to eight years. According to a report, this order is for Air India. But this will also happen for low-cost Air Asia and Air India Express. According to reports, European manufacturer Airbus has bagged the bulk of the order. Airbus will fulfill orders for 240 A320neo and 40 A350 aircraft. While Boeing will supply 190 737 Max, 20 787, and 10 777x aircraft. It is expected to be formally announced next week. Its value is about 150 billion dollars. But in such a big deal usually, the deal is normal.
Air India will compete with Indigo
The report said that the deal with Airbus was finalized in a meeting. The agreement with Boeing was signed at Bombay House, the headquarters of Tata Sons in Mumbai. In addition, the airline has tied up with 2 engine manufacturers. Airbus dominates the Indian market. India’s IndiGo is the world’s largest customer of the Airbus A320. Placing such a huge order for planes in India would be a coup for Boeing. Air India’s deal with Boeing and Airbus is known as the ‘mother of all aviation deals’ It is being said. Air India will be able to provide short-haul services of 4-5 hours with one aircraft. With this, Air India will be able to compete with IndiGo, which currently holds more than 50% share in the domestic market.
Likely to add around 50 aircraft this year
The Wise Body aircraft will help Tata expand in North America, Europe, and Australia. Air India is likely to add around 50 aircraft this year, which will increase its capacity by around 50%. Since acquiring Air India early last year, the Tata group has been in talks with aircraft manufacturers to revamp its fleet. Recently Air India CEO Campbell Wilson said that Air India wants to increase its market share to 30% in the next 5 years on both domestic and international routes. Tata to acquire Air India in 2022. Air India will be privatized from January 27, 2022. After this Tata became the second-largest airline in the country. Prior to the transfer of Air India, the chairman of Tata Sons met Prime Minister Narendra Modi. India’s aviation market is currently the third largest in the world. It is expected to double in the next 10 years.
