Tata’s Air India looks for aircraft with “Historic Order”
Tata Group-owned Air India is in discussions with Boeing and Airbus about placing an order for new aircraft while also repairing grounded aircraft and leasing aircraft to meet its immediate needs.
According to the airline’s CEO on Saturday, Tata Group-owned Air India is in discussions with Boeing and Airbus about placing an order for new aircraft while also repairing grounded aircraft and leasing aircraft to meet its immediate needs.
The autos-to-steel conglomerate, which completed the acquisition of Air India in January, faces a difficult battle to modernise an ageing fleet, improve service levels, and restore the company’s financial health, according to industry analysts.
Campbell Wilson, the airline’s chief executive, stated at a Tata corporate event in Mumbai that “we are in deep negotiation with Boeing, Airbus, and engine makers for a historic order of the newest generation aircraft that would propel Air India’s medium- and long-term expansion.”
In order to boost its market share to 30% on both domestic and international routes over the following five years, Mr. Wilson stated that Air India intended to expand its fleet and global network.
Industry estimates indicate that Air India currently holds a 10% domestic market share and a 12% international market share.
In an effort to increase market share and raise service standards, Air India said in September that it will lease 30 Boeing and Airbus aircraft, more than doubling the size of its fleet.
In July, industry insiders claimed that Air India was getting closer to choosing between Airbus and Boeing for an order worth $50 billion at list prices. The purchase was expected to comprise up to 300 narrowbodies and up to 70 wide-body aircraft, including Airbus A350s and Boeing 787s and 777s, according to the sources at the time.