NEW DELHI – Airbus has identified IndiGo (6E) and Air India (AI) as two of its three largest global customers, based on aircraft delivery backlogs.
The company faces the significant challenge of delivering 916 aircraft to IndiGo (6E) and 344 aircraft to Air India (AI). These are the majority, comprising narrow-body planes.
Photo: EurospotCurrent Order Rankings
Benoit de Saint-Exupery, Airbus Executive Vice President for Sales and Commercial Aircraft, disclosed these figures during his visit to Delhi for the International Air Transport Association Annual General Meeting.
Malaysia-based AirAsia Group currently holds the second position, with 393 aircraft pending delivery. Meanwhile, IndiGo leads globally, and Air India secures third place in the rankings.
The substantial order book reflects India’s rapidly expanding aviation market and the aggressive fleet expansion strategies of both carriers.
IndiGo operates as India’s largest low-cost carrier, while Air India represents the country’s flag carrier following its recent privatisation and merger with Vistara (UK).
Photo: Clément AlloingSupply Chain Stabilisation
Saint-Exupery provided encouraging updates regarding Airbus’s production capabilities and supply chain recovery.
The company has restored its A320 family production to pre-pandemic levels, currently manufacturing 60 single-aisle aircraft monthly. Airbus targets increasing this production rate to 75 aircraft per month by 2027.
The executive emphasised that supply chain stability has begun returning after years of disruption caused by the COVID-19 pandemic and subsequent global logistics challenges.
Airlines worldwide have expressed mounting frustration with delivery delays from both Airbus and competitor Boeing, making this stabilisation crucial for the industry.
Photo: AirbusIndia’s Strategic Role
Airbus continues expanding its industrial footprint in India beyond serving as a customer market.
The company operates final assembly lines for H125 helicopters in its civil range and C295 military aircraft within the country. However, Saint-Exupery indicated that establishing a final assembly line for commercial aircraft remains under consideration.
Instead, Airbus prioritises expanding its sourcing operations from India, viewing this approach as more valuable than establishing additional final assembly facilities.
The company’s procurement from Indian suppliers has grown dramatically from $500 million in 2020 to $1.4 billion in 2024, crossing the $1 billion milestone in 2023.
Photo- AirbusSourcing Strategy Targets
Airbus projects reaching $2 billion in annual sourcing from India before the decade’s conclusion. This expansion reflects the company’s commitment to leveraging India’s manufacturing capabilities and cost advantages.
Remi Maillard, President of Airbus India and Managing Director for the South Asia region, emphasised India’s evolution from solely a market into a strategic resource and industrial base.
The aerospace manufacturer plans to incorporate Indian-made components in every commercial aircraft produced going forward. This integration strategy strengthens Airbus’s supply chain while supporting India’s Make in India initiative and aerospace manufacturing sector development.
Photo: Pieter ElbersCautious Optimism
Despite positive developments in supply chain recovery, Saint-Exupery maintained cautious optimism about future stability.
The executive acknowledged that situations can change rapidly in the current global environment, requiring constant vigilance and adaptability from aerospace manufacturers.
The delivery delays affecting both Airbus and Boeing have created significant operational challenges for airlines worldwide, forcing carriers to adjust expansion plans and optimise existing fleet utilisation.
The stabilisation of production levels and supply chains represents a critical milestone for meeting customer commitments and supporting aviation industry growth globally.
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