IndiGo to Lock In 40 Airbus Aircraft Orders Amid Global Expansion Push

IndiGo is likely to convert its purchase rights for 40 Airbus A350 family aircraft into a firm order. This comes just months after India’s largest airline by market share had placed a firm order for 30 A350-900 aircraft and bagged an option for an additional 70. In June, IndiGo converted the option to purchase 30 aircraft into a firm order, the Economic Times reported. The development comes around a time when India’s largest carrier is gradually expanding in global skies. 

“They actually will order more aircraft. More likely would, because they secured that right, because they believe they will need those aircraft. And so, the [Indian] market is such that it’s easy to appreciate that there is a need for much more advanced aircraft,” said executive vice-president sales of the commercial aircraft business, Airbus, Benoit de Saint-Exupery, according to ET. 

The airline is expected to receive these orders by mid-2027.

Purchase rights refer to an agreement where an airline has the choice to buy an aircraft at a predetermined price and possibly at a specific delivery slot, but without a firm commitment to actually purchase. 

The Airbus A350-900 is a long-range aircraft used by international airlines and has a capacity of 300-410 passengers and can take a flight up to 18,000 km, or 15 to 18 hours nonstop. The move is big for IndiGo, as after capturing the domestic market, the carrier is soaring global skies. Earlier in 2023, the airline placed an order for 500 Airbus A320 family aircraft, marking the largest order in the history of commercial aviation. These orders are expected to be delivered between 2030 and 2035, IndiGo stated on its website.

IndiGo partnered with Delta Air Lines, Virgin Atlantic and Air France-KLM to increase and improve connectivity to Europe and North America in June this year.

“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,” CEO of IndiGo, Pieter Elbers, had earlier said, according to ET.