In a significant development for the Indian aviation industry, Air India has provided the public with a sneak peek of its eagerly awaited Airbus A350, set to be delivered to the Tata Group-owned airline by the end of this year. This stunning aircraft marks the beginning of a new era for the carrier, featuring an impressive makeover in the airline’s livery. Furthermore, Air India’s budget subsidiary, AI Express, is also gearing up to unveil its distinct livery in the coming month, promising exciting changes for travelers. The airline is slated to welcome five to six A350s into its fleet by March 2024, cementing its commitment to providing world-class travel experiences.
The unveiling of the Airbus A350 is a momentous occasion for Air India, as it represents a significant leap forward in the airline’s efforts to modernize and enhance its services. The first A350, resplendent in the airline’s refreshed livery, is on track for delivery to Air India before the close of this year. Additionally, AI Express, the low-cost carrier under the Air India umbrella, is gearing up to introduce its distinctive livery, adding a touch of excitement to the Indian aviation landscape.
In a strategic move to bolster its fleet, Air India is in the process of merging AirAsia India into its operations, thereby creating a mega low-cost carrier (LCC). As part of this consolidation, Air India has already received two Boeing 737 MAX aircraft, which are currently undergoing painting in the new livery. The acquisition of these aircraft underscores the airline’s commitment to expanding its services and catering to a broader range of travelers.
Despite a slight delay in the delivery of the first A350, attributed to additional seat testing required by the seat manufacturer, Air India remains determined to introduce the aircraft into its operations as soon as possible. This year, the airline anticipates receiving one to two A350s. Initially, these aircraft will ply domestic routes, allowing Air India’s crew to gain valuable experience under the guidance of seasoned A350 pilots. Subsequently, the A350s will be deployed on nearby international routes before embarking on long-haul journeys to North America, offering passengers a luxurious and comfortable flying experience.
The decision to introduce the A350 to domestic routes is in line with industry practices observed worldwide when airlines integrate a new type of aircraft into their fleet. For instance, Singapore Airlines employed a similar strategy, operating the iconic double-decker A380 between Changi and Kuala Lumpur when it first acquired the aircraft. This approach allows airlines to ensure a smooth transition for both passengers and crew while building confidence in the new aircraft.
Notably, Air India has achieved a remarkable milestone by becoming the first Indian scheduled airline to acquire a widebody Airbus A350 from an entity registered in Gujarat International Finance Tec-City (GIFT City). This A350-900 represents a groundbreaking move in the Indian aviation landscape as it marks the first widebody aircraft leased through India’s first International Financial Services Centre (IFSC) via a finance lease transaction with HSBC. The transaction was expertly facilitated by AI Fleet Services Limited (AIFS), a 100% subsidiary of Air India, and a GIFT IFSC-registered finance company.
This landmark transaction is particularly significant as it signifies Air India’s inaugural financing transaction from its colossal $70 billion order for 470 aircraft. Traditionally, Indian carriers have relied on leasing aircraft from foreign shores, particularly Ireland. However, the Modi government’s strong commitment to bringing the leasing business to India has been realized with this achievement. Now, domestic carriers, including Tata Group-owned Air India and IndiGo, stand as major players in the global aviation industry, further bolstering India’s position on the international stage.
In conclusion, Air India’s unveiling of the Airbus A350 in its new livery marks an exciting chapter in the airline’s history. With plans to introduce several A350s into its fleet, the airline is well-positioned to enhance its services, offering passengers a premium flying experience on both domestic and international routes. Additionally, Air India’s pioneering move in acquiring an A350 from GIFT City through an IFSC-based financing transaction highlights the country’s growing prominence in the global aviation industry. As Air India takes these bold strides, it reinforces its commitment to delivering excellence in aviation services and contributes to India’s aviation sector’s robust growth.
