INSUBCONTINENT EXCLUSIVE:
NEW DELHI: The Tata group-owned Air India broke records on Tuesday when it placed the largest-ever aircraft order in global aviation history
with US manufacturer Boeing and European counterpart Airbus
In a single day, the salt-to-software conglomerate stacked Air India's shopping cart with 470 planes (250 from Airbus and 220 from Boeing)
with an option of buying 70 more from the American firm.The multi-billion dollar deal, which was hailed by PM Modi, French President
Emmanuel Macron, US President Joe Biden and UK PM Rishi Sunak, was much more than just an ambitious business decision by a carrier eyeing
renaissance under the Tata conglomerate.Air India's generous orders had deeper political implications for leaders like US President Joe
Biden and UK PM Rishi Sunak, who are both facing crucial elections next year
Besides, the private aircraft deal also gave a fillip to India's rising global profile as the country further cements its position as a
geopolitical force.'1 million American jobs'The deal's global impact was summed up ideally by noted cricket commentator Harsha Bhogle in his
tweet: "I hadn't imagined a day would come when an American President would issue a statement that an order placed by an Indian company
wherein the US President hailed the historic order by Air India that would lead to the creation of American jobs
"I am proud to announce today the purchase of over 200 American-made aircraft through a historic agreement between Air India and Boeing
This purchase will support over one million American jobs across 44 states, and many will not require a four-year college degree," Biden
said.Notably, by highlighting that most American workers who will benefit from the deal will not require a college degree, President Biden
subliminally appealed to the white voter base in the country, many of whom are blue-collar workers.Jobs in UK tooLike Biden, UK Prime
Minister Rishi Sunak also hailed Air India's historic orders, saying they would create jobs and boost exports from Britain, where the French
planemaker designs and makes aircraft wings.The large A350 aircraft of Airbus are powered by XWB engines made by British company Rolls-Royce
It has already received an order from Air India for 68 Trent XWB-97 engines, in addition to an option for 20 more.Welcoming the "landmark
agreement", Sunak said that Air India's deal with Airbus and Rolls-Royce shows "sky's the limit" for the UK's aerospace sector."The
agreement announced by the companies this morning (Tuesday 14 February) will support and create new highly skilled jobs in Wales and
Derbyshire, helping to boost exports, grow the economy and level up the UK," the British government said in a statement.It said that a
significant portion of the manufacturing process for the new aircraft is expected to take place in the UK."The wings will be designed in
The large A350 aircraft are exclusively powered by Rolls-Royce XWB engines, which are assembled and tested in Derby," the press release
said.Clearly, Air India's deal gives significant political heft to Sunak, who not only faces crucial elections next year but is racing
against time to fulfil his promise of creating more jobs in the UK.Strategic ties - India's statureIndian and French leaders highlighted the
political and economic importance of Air India's deal with Airbus during a ceremony attended virtually by PM Modi and French President
Macron.Speaking at the event, Macron said the deal highlighted the growing bond between Paris and New Delhi."I want to tell everybody that
for me, this very important contract and this achievement today is one of the milestones of the in-depth strategic and friendly partnership
we have between India and France," he said."This achievement shows that Airbus and its partners, including Safran, are fully committed to
develop new areas of cooperation with India and we have achieved so much with India in a wide range of sectors from space to cyber, from
defence to culture, from health to energy transition," he said.Macron went on to accentuate New Delhi's rising global stature and said that
he is working with PM Modi to ensure the success of India's G20 presidency in the backdrop of Russia's invasion of Ukraine."We are working
for the success of India's G20 Presidency in a difficult context with the Russian aggression against Ukraine," Macron said during the
leaders' virtual meeting."India, under your leadership, clearly can be the one to mobilise the whole world and help us address the
tremendous issue we have in front of us," the French President told PM Modi.Growing influenceThe deal, which would be worth tens of billions
of dollars, comes at a volatile time for plane giants whose jets are again in demand after the pandemic, but who face mounting industrial
and environmental pressures."It is important for the industry because given the recent turbulence in the China market, the alternative
growth market is India," independent aviation adviser Bertrand Grabowski told Reuters."India is also sending a strong political signal that
it wants to remain attached to the West at a time when it has appeared ambiguous on Russian sanctions," said Grabowski, a former banker with
extensive experience of financing international aviation deals.The record order also aims to put Air India in the league of large global
airlines and make it an influential customer for planemakers and suppliers.It reflects a strategy to recapture a solid share of trips
between India's diaspora and cities such as New Delhi and Mumbai that are currently dominated by foreign rivals such as Emirates.1/20Air
India signs largest aircraft deal with Airbus, BoeingPreviousNextShow CaptionsAir India unveiled orders for 470 Boeing and Airbus passenger
jets as it races to tap surging demand for increasingly affordable air travel from the nation's growing ranks of middle-class consumers.In
one of the largest aircraft orders by an airline, Tata Group-owned Air India on Tuesday announced it will buy 470 narrow-body and wide-body
planes from Airbus and Boeing.This is the first time in more than 17 years that Air India, which was acquired from the government by Tata
Group in January 2022, has ordered planes
The combined value of the aircraft order from Boeing and Airbus is estimated to be worth $80 billion (over Rs 6.4 lakh crore), as per a PTI
Air India will buy 250 aircraft, including 40 wide-body A350 planes, from European aviation major Airbus, and 220 planes from US aircraft
maker Boeing under separate deals.The announcement comes a year after tea-to-software conglomerate Tata Group re-acquired the loss-making
airline, founded by globetrotting Franco-Indian industrialist JRD Tata, who piloted its maiden flight in 1932.India, the world's fastest
growing aviation market, has seen increased competition with a number of domestic and international carriers adding flights and destinations
across the country.Air India placed landmark orders for 470 jetliners from Airbus and Boeing as it carves out an ambitious renaissance under
the Tata Group.Prime Minister Narendra Modi described Air India-Airbus transaction as a "landmark deal" that also reflects the deepening
ties between India and France.French president Emmanuel Macron said Air India's deal with Airbus was one of the milestones of the in-depth
strategic and friendly partnership between India and France.Airbus India head Remi Maillard said the company will deliver the first A350
aircraft to Air India by the end of this year.Remi Maillard said the deal with Air India marks the European aviation major's "emphatic
It's the fastest growing in the world."PM Modi and US President Biden welcomed the announcement of the landmark agreement between Air India
and Boeing as a "shining example of mutually beneficial cooperation that will help create new employment opportunities in both countries."US
President Joe Biden said Air India-Boeing agreement is "historic" deal that will support his agenda with one million US jobs in 44 states
It will not require a four-year college degree.Air India chief Campbell Wilson said the order for 470 planes is one of the largest single
aircraft orders by any airline, anywhere, ever, and that the carrier has secured a number of options and purchase rights.Tata Sons and Air
India Chairman N Chandrasekaran said the airline is on a large transformation journey across safety, customer service, technology,
engineering, network and human resources.Aircraft engine maker Rolls-Royce has received an order from Air India for 68 Trent XWB-97 engines
and there is also the option to supply 20 more such engines
This is the biggest ever order for such engines, which exclusively powers the Airbus A350-1000.In a tweet, civil aviation minister
Jyotiraditya Scindia said the historic agreement between Air India and Airbus is a testimony to the growing importance of civil
aviation.British PM Rishi Sunak hailed the deal by Airbus and Rolls-Royce to supply new aircraft to Air India as a landmark moment for the
country's aerospace sector and reiterated his commitment to continue building ties with India.Boost to Indian civil aviationThe massive deal
also puts the spotlight on India's growing aviation sector which is eyeing a significant chunk of the global business.Notably, Air India's
order tops American Airlines' combined deal for 460 Airbus and Boeing planes more than a decade ago.On Tuesday, in the backdrop of the deal,
PM Modi said that India's growing aviation sector would need over 2,000 aircraft in the next 15 years.Similarly, Boeing said that with
aviation sector still has enormous growth potential
said.Indian carriers have ordered hundreds of aircraft worth billions of dollars in recent years to cater to a growing number of
fliers.(With inputs from agencies)
