Air India seals the deal with Airbus to acquire 250 new planes in biggest aviation deal

Air India, on Tuesday, announced the completion of its deal with Airbus to acquire 250 new airplanes in what would be the biggest airline deal in history. According to the deal, Air India, which is owned by Tata Group will procure 210 single-aisle A320neos and 40 widebody A350s planes. The Airbus deal is just half of Air India's aviation partnership at will buy 220 new planes (190 of 737 MAX narrowbody jets, twenty 787 widebodies and 10 777Xs) from US company Boeing. Both partnerships are worth a whopping $100 billion, half of which is estimated to go to Airbus.

"We have built a very good relationship with Airbus. Today, I am happy to announce that we have signed a letter of intent to acquire 250 aircrafts from Airbus," N Chandrasekaran, Chairman of Tata Sons said at the video conference. "We have significant options to increase the fleet orders once we grow," he added. Airbus chief executive Guillaume Faury, on the other hand, said "it is a historic moment for Airbus to help script Air India's revival."  

PM Modi interacts with French President 

Addressing a virtual meeting with President @EmmanuelMacron on agreement between Air India and Airbus. https://t.co/PHT1S7Gh5b

— Narendra Modi (@narendramodi)

On the agreement between Air India and Airbus, Prime Minister Narendra Modi interacted with French President Emmanuel Macron. "First of all, I congratulate and wish Air India and Airbus for this landmark agreement. My special thanks to my friend President Macron for joining this event," PM Modi said. "This important deal reflects the deepening ties between India and France, as well as the successes and aspirations of India's civil aviation sector," he added. 

PM Modi also said that India is on its way to become the third-biggest market in the aviation sector and that the country would need 2,000 new planes in the next 15 years. "Today's historic announcement will support the increasing demand. Under India's 'Make in India, Make for the world' vision, several new opportunities are emerging in the aerospace sector," PM Modi said. 
PM Modi also mentioned the 2.5 billion euro Defence Transport Aircraft project, which was inaugurated in Vadodara in October 2022 and where Air India and Airbus are collaborating as well.