Indonesian Political, Business & Finance News

To Strengthen Operations and Profitability, AirAsia Purchases 150 Airbus A220 Aircraft Worth US$19 Billion

| Source: VIVA Translated from Indonesian | Business
To Strengthen Operations and Profitability, AirAsia Purchases 150 Airbus A220 Aircraft Worth US$19 Billion
Image: VIVA

AirAsia X Berhad (AAX/AirAsia Group) has purchased 150 Airbus A220-300 aircraft worth around US$19 billion to strengthen operational efficiency and bolster profitability amid global market dynamics.

Chief Executive Officer of AirAsia Group, Bo Lingam, stated that this aircraft purchase allows the company to build a wider network.

“With higher flight frequencies, while supporting better operational efficiency,” said Bo Lingam in his statement on Thursday, 7 May 2026.

He added that this agreement also provides flexibility for AirAsia to increase the order quantity to a total of 300 aircraft from the A220 family. This aligns with the group’s future growth needs.

“AirAsia becomes the world’s first airline to operate the latest Airbus A220 configuration with a capacity of 160 seats,” he said.

He noted that this variant will form the backbone of the next-generation fleet, with more optimal efficiency. It also provides more suitable capacity to support profitability on routes with medium demand levels.

According to him, the aircraft will also offer greater flexibility for AirAsia in adjusting capacity to market demand. At the same time, it enables increased flight frequencies on existing routes.

With higher frequencies, passengers can enjoy more daily departure options, better connectivity, and a more comfortable Fly-Thru travel experience.

CEO of Capital A and Advisor to AirAsia Group, Tony Fernandes, added that the A220’s capacity allows AirAsia to achieve profitability with fewer passengers compared to larger narrow-body aircraft.

This opens opportunities to develop emerging markets with still small demand as well as secondary hubs that were previously not commercially viable.

“The A220 will be a key foundation in the next growth phase and support our vision to build the world’s first truly globally connected low-cost carrier network,” said Tony.

As aircraft deliveries commence in 2028, the fleet will operate to serve various destinations in the ASEAN and Asia-Pacific regions. The presence of the A220 will also provide greater flexibility in fleet management.

Tags: bisnis
View JSON | Print