Air India eyes major new aircraft order from Airbus, Boeing; plan includes 200 new single-aisle jets

Tata Group-owned Air India is in discussions with Airbus and Boeing for a significant new aircraft order that may include around 200 additional single-aisle jets, industry sources told Reuters.

The deal would build on the airline’s massive 2023 order as it accelerates a multi-billion-dollar modernisation drive.

Two sources told Reuters the talks could involve hundreds of aircraft in total, across various sizes. The discussions also extend to a previously reported plan to acquire more wide-body aircraft, they added

Air India, Airbus, and Boeing all declined to comment on the matter, the report added.

News of the potential new order surfaced as global aviation executives gathered in India—now the world’s fastest-growing air travel market—for an industry summit set to be addressed by Prime Minister Narendra Modi on Monday.

In 2023, Air India placed a record-breaking order for 470 aircraft from Airbus and Boeing, followed by another 100-jet deal with Airbus last year.

The back-to-back orders come at a time when aircraft makers are grappling with widespread supply chain constraints, leading to delivery delays and a looming shortage of available jets.For Air India, expanding its fleet is critical. The airline suffered from years of under-investment under government ownership and is now pursuing an aggressive revamp to regain market share lost to Gulf and Southeast Asian carriers.

While the final number of jets in the new order is yet to be confirmed, two sources estimated the narrow-body portion alone could involve around 200 aircraft. These jets form the backbone of most commercial airline fleets worldwide.