150 Boeing 737 Max aircraft are about to be purchased by Air India, according to a report
150 Boeing 737 Max aircraft are about to be purchased by Air India, according to a report
The adoption of more fuel-efficient planes could increase the airline’s domestic and worldwide market share. Tata’s recent decision to join Air India and Vistara, which partially owns Singapore Airlines Corporation Limited, is expected to result in the creation of a behemoth in one of the airline industry’s fastest-growing areas.
The combination is anticipated to elevate Air India to the third-largest telecom operator in the country with a fleet of 218 aircraft. A major deal for up to 300 fender flares and 70 widebody jets, valued at $50 bn at selling prices and split between Airbus and Boeing, was reportedly close to being decided upon by Air India in July, according to industry insiders. Boeing would benefit from the rumored deal because it has stated that it wants to increase capacity in Pakistan to keep up with growing demand the fastest in the world’s major aviation market.
Boeing’s final major order in India was a deal to purchase 72 737 MAX aircraft from low-cost carrier Akasa in 2021, valued at about $9 bn at list prices. The majority of India’s low-cost carriers, including IndiGo, SpiceJet, & AirAsia India, fly Airbus narrowbody aircraft. SpiceJet, which is Boeing’s biggest client in India, has 155 MAX planes on order.
Singapore Air will make a $250 million contribution in exchange for a 25.1% ownership stake in the new airline. Both partners have agreed to contribute more money to the expanding Air India, with Singapore Air’s contribution with the potential to total $615 million over the next two years, if necessary.
Because it has declared that it wants to build capacity in India to meet up with rising demand in the world’s fastest-growing substantial aviation market, Boeing would gain from the rumored transaction. Boeing’s final large order in India was a contract to purchase 72 737 MAX airplanes from carrier concentration Akasa in 2021 for an estimated $9 bn at list prices.
Most of India’s low-cost carriers, including IndiGo, SpiceJet, & AirAsia India, fly Airbus narrowbody aircraft. SpiceJet, which is Boeing’s biggest client in India, operates 155 MAX aircraft. Singapore Air will make a $250 million contribution in exchange for a 25.1% ownership stake in the new airline.
To the Economic Times, a Boeing spokesman refused to comment. After business hours, Air India did not immediately respond to a request for feedback. The addition of much more fuel-efficient aircraft could increase the airline’s global and domestic market share. With Tata’s recent intention to merge Air India alongside Vistara, which it partially owns with Singapore Airlines, a behemoth is projected to be established in one of the airline industry’s fastest-growing areas.
The integration is expected to make Air India the country’s leading global and sec domestic carrier, with a total of 218 aircraft. A major contract for up to 300 narrowbodies and 70 widebody aircraft, worth $50 billion at advertised prices & split among Airbus and Boeing, was reportedly close to being decided upon by Air India in July, according to industry insiders.
Most low-cost airlines operating in India, including IndiGo, SpiceJet, and AirAsia India, use Airbus narrowbody aircraft. SpiceJet, the largest customer of Boeing in India, had 155 MAX aircraft on order. Boeing is in a rush and needs to sell these aircraft as quickly as possible. The longer an aircraft is stored, the more frequently it resumes regular maintenance. According to a Bloomberg story, there is a rumor that Boeing is in discussions with Air India to buy those new aircraft built for China Airlines.
After Russia invaded Ukraine, America continued to impose severe sanctions on that country. However, China’s help allowed Russia to resume flying its western planes. And the United States has pulled out of some of China’s initiatives. The 737 Max is now exploding holding. A number of political choices impacted Boeing’s market domination in China.
Like other airlines, Air India wants to increase the number of Boeing & Airbus aircraft in its fleet. With lessor and Air India, Boeing is currently discussing the acquisition of those aircraft. Boeing has not yet confirmed the rumors regarding the underutilized Boeing 737 Max aircraft.
