Airbus Shares Up as Air India Increases Order by 100 Aircraft

Airbus shares (EPA: AIR) are trading up 1.29% today, as Air India has confirmed an expansion of its aircraft fleet with an additional order for 100 Airbus planes. This order includes 10 widebody A350s and 90 narrowbody A320 aircraft, which incorporates the A321neo model. This move is part of Air India's significant expansion strategy and results in a total order of 350 Airbus aircraft for the year 2023.

With this new order, Air India is set to become the first Indian airline to operate the Airbus A350. These A350 aircraft will be powered by Rolls-Royce Trent XWB engines, underscoring Air India's commitment to leveraging advanced technology. The narrowbody A320 Family fleet will utilize CFM LEAP 1-A engines, supporting efficient operational capabilities.

In addition to the Airbus order, Air India has placed orders for 220 Boeing aircraft, of which 185 are yet to be delivered. This dual order strategy signifies Air India's robust expansion ambitions as it seeks to tap into India's growing aviation market.

Tata Sons and Air India Chairman, Natarajan Chandrasekaran, highlighted the importance of this order in the context of India's passenger growth and Air India's broader expansion goals. Meanwhile, Airbus CEO Guillaume Faury expressed satisfaction with Air India's trust and recognized the accelerating growth of India's aviation sector.

Air India's strategic partnership with Airbus is not limited to aircraft procurement. The airline has also opted for Airbus' Flight Hour Services-Component to support maintenance activities for its A350 fleet. This decision reflects Air India's focus on ensuring high reliability and service standards for its new advanced fleet.

Air India continues to align itself with industry-leading technologies and partners, positioning itself to effectively address the rising demand in passenger air travel within and beyond India's borders.