Indonesian Political, Business & Finance News

AirAsia Signs Jumbo Deal Worth Rp330 Trillion to Buy 150 Airbus Aircraft

| Source: CNBC Translated from Indonesian | Business
AirAsia Signs Jumbo Deal Worth Rp330 Trillion to Buy 150 Airbus Aircraft
Image: CNBC

AirAsia has officially signed a jumbo agreement worth US$19 billion, or approximately Rp330 trillion, to purchase 150 Canadian-made Airbus A220-300 aircraft. This transaction not only represents a major expansion step for the low-cost airline but also stands as the largest order in the history of the Canadian aviation industry. The agreement was announced at Airbus’s production facility in Mirabel on Thursday (7/5/2026). On that occasion, AirAsia co-founder Tony Fernandes described the A220 aircraft as a key element in the company’s long-term growth strategy. “This is the perfect tool for our next phase of growth,” Fernandes said in a statement, as reported by AFP. He emphasised that the move reflects the airline’s grand ambitions, known for aggressively expanding its flight network across Asia. “This order reflects our long-term discipline and the scale of our ambitions,” he added. In its statement, AirAsia noted that the agreement also provides strategic flexibility to increase purchases to up to 300 A220 family aircraft in the future if market demand continues to rise. The airline assesses that the new fleet will strengthen the expansion of regional routes while improving operational efficiency. Airbus Commercial Aircraft CEO Lars Wagner stated that the A220 will open new opportunities for AirAsia to develop its flight network in Asia. “The A220 will open up new routes across Asia that were previously not possible,” he said. According to Wagner, when the new fleet begins delivery in 2028, AirAsia can also redirect its wide-body aircraft to focus on long-haul routes to North America, Australia, and Europe. Moreover, he noted that AirAsia will become the “global launch customer” for a new 160-seat A220 configuration. The announcement was also attended by Canadian Prime Minister Mark Carney, who emphasised the importance of this agreement for his country’s manufacturing industry. “These 150 aircraft will be built by Canadian workers on Canadian factory floors,” Carney said. He added that the project will create high-quality jobs for thousands of workers across various industrial sectors. “For thousands of engineers, electricians, steel welders, and IT specialists, this will mean high-paying and exciting jobs to build extraordinary aircraft that connect millions of people around the world,” he stated. Canada is the only country outside Europe that serves as a major Airbus programme base, particularly for the production of the A220 aircraft family.

View JSON | Print