IndiGo is reportedly nearing a significant deal with Airbus to purchase 500 narrow-body A320-family jets.
The deal, expected to surpass Air India’s previous record of buying 470 jets, is currently being discussed at an Istanbul airline meeting.
Although the potential deal could be valued at approximately $50 billion based on Airbus’ list prices, industry analysts estimate that the final value would be significantly lower.
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It is due to discounts typically offered for bulk orders in the airline industry.
In addition to the narrow-body jet deal, Airbus and Boeing are negotiating to sell 25 wide-body jets, either A330neo or Boeing 787, to IndiGo.
Pieter Elbers, the Chief Executive of IndiGo, declined to comment on the matter, as did representatives from Airbus and Boeing.
IndiGo is already one of Airbus’ major customers, with a previous order of 830 Airbus A320-family jets, of which approximately 500 are yet to be delivered.
Airbus and Boeing have been securing substantial orders stretching beyond 2030 as airlines aim to secure supplies in anticipation of future shortages.
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Turkish Airlines made headlines before the International Air Transport Association (IATA) meeting by announcing its potential order of 600 jets.
However, delegates at the meeting indicated no immediate signs of a finalized deal.
Indian carriers presently have the second-largest order book, accounting for over six percent of the industry backlog, trailing only the United States.
Despite concerns from some analysts about potential over-ordering, the strong rebound in travel post-COVID has resulted in a surge in passenger numbers in India.
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It prompted IndiGo to expand its capacity and network, particularly in international markets.
IndiGo has formed codeshare partnerships with seven airlines, including Turkish Airlines, American Airlines, and KLM, enabling the carrier to expand its European presence.
The airline recently introduced its first wide-body aircraft, a Boeing 777, on international routes to Istanbul in collaboration with Turkish Airlines until it receives the Airbus A321XLR planes in 2025.
IndiGo’s ambitious growth plans align with the robust recovery of the world’s third-largest aviation market and its increasing passenger demand, even in the face of higher fares.
