Indian Airline IndiGo Places Order for 30 Airbus A350 with Deliveries from 2027

IndiGo, India’s most preferred airline, is further defining its long-term future by strengthening its fleet with the introduction of wide-body aircraft to its fleet. Since inception in 2006, IndiGo has been successfully building its position and is now defining its future further on the path of becoming a global aviation player.

IndiGo agreed to place an order for 30 Firm A350-900 aircraft, which will enable IndiGo to spread its wings further and expand its network. From the various Indian metros, IndiGo will be able to connect to the world. The aircraft will be powered by Rolls Royce’s Trent XWB engine. The mission capability of this aircraft coupled with the efficiency of the Trent XWB engine will offer IndiGo unprecedented optionality as it embarks on the next stage of its wonderful journey of addressing the rapidly evolving needs of the Indian customer and our nation.

Currently, IndiGo operates over 350 aircraft. Last year, in June 2023, IndiGo placed the largest ever single aircraft order by any airline for 500 aircraft with Airbus. With that, the outstanding orderbook of A320 Family aircraft stands at almost 1,000 aircraft which are yet to be delivered well into the next decade. This IndiGo order-book comprises a mix of A320NEO, A321NEO and A321XLR aircraft.
This new order will bring the strategic relationship between IndiGo and Airbus to an unprecedented level in terms of depth, breadth, and size. For the relationship between IndiGo and Rolls Royce, this marks the beginning of a new, long and fruitful relationship.

The exact configuration of the aircraft will be decided at a later stage, and the deliveries are expected to start from 2027. In addition to the 30 Firm A350-900 order, IndiGo has Purchase Rights for an additional 70 Airbus A350 Family aircraft, at its discretion, for possible future needs under certain conditions.

In calendar year 2023, IndiGo welcomed 100 million customers onboard its flights and as such, the airline is, quite literally, giving wings to our nation. IndiGo is amongst the fastest growing airlines in the world, and this order will allow it to strengthen its growth trajectory.

Before the end of this decade, the Indian economy is expected to grow from being the world’s 5th largest today to being the 3rd largest. Specifically in aviation, the Indian government has stated its mission to ensure that by 2030 India comes into her own on the world stage of aviation leadership by building cutting-edge infrastructure and developing the country into a global aviation hub.

With IndiGo’s current fleet, the almost 1000 A320 Family aircraft yet to be delivered, and today’s order for wide-body aircraft, IndiGo is not only well positioned to expand and densify its unparalleled network but equally importantly, IndiGo will play its part to fulfill the Indian Government’s stated mission.

This milestone was celebrated on April 25th in Gurgaon at InterGlobe’s Corporate Headquarters by Mr. Pieter Elbers, IndiGo’s CEO, Mr. Benoît de Saint-Exupéry, Airbus’ Executive Vice President of Commercial Aircraft and Mr. Ewen McDonald, Rolls Royce’s Chief Customer Officer – Civil Aerospace, and in the presence of Dr. V. Sumantran, Chairman of the Board of IndiGo and Mr. Christian Scherer, Airbus’ CEO of Commercial Aircraft.

Pieter Elbers, CEO of IndiGo, said, “Today’s historic moment marks a new chapter for IndiGo and will further shape the future of the airline and for Indian aviation at the same time. For IndiGo, after successfully pioneering the Indian skies with an unprecedented journey, its fleet of 30 Airbus A350-900 aircraft will allow IndiGo to embark on its next phase of becoming one of the leading global aviation players. At IndiGo, we take pride in being India’s preferred airline and for offering connectivity to our customers, in and with India. This reaffirms IndiGo’s belief in, and commitment to, the growth of India, and in our strategic partnership with Airbus.

IndiGo will host a conference call on Tuesday April 30th, an invitation for which will be sent through regular channels.

Source: IndiGo

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IATA: Passenger Demand Up 21.5% in February 2024 Compared to February 2023

The International Air Transport Association (IATA) released data for February 2024 global passenger demand with the following highlights:

Total demand, measured in revenue passenger kilometers (RPKs), was up 21.5% compared to February 2023. Total capacity, measured in available seat kilometers (ASK), was up 18.7% year-on-year. The February load factor was 80.6% (+1.9ppt compared to February 2023).

International demand rose 26.3% compared to February 2023; capacity was up 25.5% year-on-year and the load factor improved to 79.3% (+0.5ppt on February 2023).

Domestic demand rose 15.0% compared to February 2023; capacity was up 9.4% year-on-year and the load factor was 82.6% (+4.0ppt compared to February 2023).

Note that February 2024 was a leap year with one extra day compared to February 2023. This slightly exaggerates growth in both demand and capacity to the positive.

“The strong start to 2024 continued in February with all markets except North America reporting double-digit growth in passenger traffic. There is good reason to be optimistic about the industry’s prospects in 2024 as airlines accelerate investments in decarbonization and passenger demand shows resilience in the face of geopolitical and economic uncertainties.  It is critical that politicians resist the temptation of cash grabs with new taxes that could destabilize this positive trajectory and make travel more expensive. In particular, Europe is a worry as it seems determined to lock in its sluggish economic recovery with uncompetitive tax proposals,” said Willie Walsh, IATA’s Director General.

International Passenger Markets

All regions showed double digit growth for international passenger markets in February 2024 compared to February 2023. For the first time, demand for international services exceeded pre-pandemic levels (+0.9% compared to February 2023). This, however, is skewed by February 2024 being a leap-year with an extra day compared to February 2023.

Asia-Pacific airlines saw a 53.2% year-on-year increase in demand. Capacity increased 52.1% year-on-year and the load factor rose to 84.9% (+0.6ppt compared to February 2023), the highest among all regions.

European carriers’ saw a 15.9% year-on-year increase in demand. Capacity increased 16.0% year-on-year, and the load factor was 74.7% (flat compared to February 2023).

Middle Eastern airlines saw a 19.7% year-on-year increase in demand. Capacity increased 19.1% year-on-year and the load factor rose to 80.8% (+0.4ppt compared to February 2023).

North American carriers saw a 16.0% year-on-year increase in demand. Capacity increased 17.6% year-on-year, and the load factor fell to 77.7% (-1.1ppt compared to February 2023).

Latin American airlines’ saw a 21.0% year-on-year increase in demand. Capacity climbed 18.6% year-on-year. The load factor rose to 84.2% (+1.7ppt compared to February 2023).

African airlines’ saw a 20.7% year-on-year increase in demand. Capacity was up 22.1% year-on-year. The load factor fell to 74.0% (-0.8ppt compared to February 2023).

Source: International Air Transport Association
Photo Credit: International Air Transport Association

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Airbus Announces Commercial Aircraft Orders and Deliveries for the Month of March 2024

In March 2024, European aircraft manufacturer Airbus:

  • Delivered 63 aircraft to 32 customers
    • 1 A220-100
    • 3 A220-300
    • 23 A320neo
    • 28 A321neo
    • 3 A330-900
    • 3 A350-900
    • 2 A350-1000
  • Secured 137 orders
    • 1 A319neo
    • 10 A320neo
    • 85 A321neo
    • 3 A330-900
    • 5 A350F
    • 6 A350-900
    • 27 A350-1000
  • Year to date Airbus has delivered 142 aircraft to 45 customers.

AFM Team Note – kindly contact us for a detailed excel breakdown of orders and deliveries by airline.

See last month’s order here.

Source: Airbus
Photo Credit: Airbus

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