In a strategic move, Air India, now under the ownership of Tata Group, has modified its earlier 250-aircraft order with Airbus. Sources reveal that the revised order will see an increased number of A321neo aircraft, altering the composition of the fleet. Initially, Air India’s 250-aircraft order included 210 narrowbody A320 family planes, consisting of 140 A320neo and 70 A321neo. Additionally, the order encompassed 40 widebody A350s, comprising six A350-900 and 34 A350-1000s.
The latest adjustments to the order indicate a shift in focus. Air India is set to acquire 140 A321neo and 70 A320neo, reflecting an emphasis on the A321neo model. Furthermore, the order for the 40 A350s has been reconfigured. Initially, it included six A350-900 and 34 A350-1000s, but the revision now features 20 A350-900s and 20 A350-1000s.
Air India’s response and strategy
Responding to queries, an Air India spokesperson said, “We regularly review our orderbook based on business requirements and opportunities, and exercise contractual flexibilities as appropriate.” The move aligns with Air India’s dynamic approach to fleet management.
Airbus’ Perspective
When approached for comments, Airbus maintained a neutral stance, stating, “It is up to our customers to disclose their strategy.” This underscores the collaborative nature of the relationship between airlines and aircraft manufacturers.
Tata Group’s Acquisition and Future Plans
The Tata Group assumed control of Air India in January 2022. Earlier this year, Air India, under Tata Group ownership, placed substantial orders for a total of 470 aircraft from both Airbus and Boeing, amounting to USD 70 billion based on published list prices. The Boeing order comprises 220 aircraft, including 190 Boeing 737MAX narrowbody planes, 20 Boeing 787 Dreamliners, and 10 Boeing 777X. The recent adjustments to the Airbus order signal Tata Group’s strategic recalibration of Air India’s fleet composition.
(With PTI Inputs)