Rising Aircraft Backlogs : 1,260 aircraft due for IndiGo, Air India

India is emerging as a key player in global aviation, with Airbus naming IndiGo and Air India among its top three airline customers. Airbus has a backlog of 916 aircraft for IndiGo and 344 for Air India. The company is boosting production and sourcing from India, which grew from 500millionin2020to500 million in 2020 to 500millionin2020to1.4 billion in 2024, aiming for $2 billion by 2030. India’s growing market and industrial base underline its strategic importance to Airbus’s global supply chain.

India's aviation sector is soaring to new heights, with Airbus announcing that IndiGo and Air India have become two of its top three global airline customers in terms of aircraft orders. This milestone underscores India's growing prominence in the global aviation industry. Airbus Executive Vice President for Sales, Benoit de Saint-Exupery, revealed that the European aerospace giant has a backlog of 916 aircraft for IndiGo and 344 for Air India, with the majority being narrow-body models. In comparison, Malaysia-based AirAsia Group ranks second with 393 planes on order.

A Positive Outlook on Aircraft Deliveries

Speaking at the International Air Transport Association’s (IATA) Annual General Meeting in Delhi, Benoit shared encouraging news about the company’s efforts to address delays in aircraft deliveries. “We are beginning to see signs of stability within the supply chain,” he said. Airbus has resumed its pre-pandemic production rate of 60 A320 family aircraft per month and plans to scale this up to 75 per month by 2027. Benoit assured that future Airbus planes will incorporate components manufactured in India, emphasizing the country’s role in the company's global supply chain.

Expanding Airbus’s Industrial Footprint in India

When asked about the possibility of establishing a final assembly line (FAL) for commercial aircraft in India, Benoit clarified that Airbus is focusing on expanding its industrial collaboration with Indian partners. While the company already has plans for FALs for H125 helicopters and C295 military aircraft, Benoit highlighted the higher strategic value of sourcing components from India for commercial aircraft. “Sourcing from India offers immense value, and we are committed to enhancing this engagement,” he noted.

Airbus’s sourcing from India has seen remarkable growth, rising from $500 million in 2020 to $1.4 billion in 2024. The company aims to reach $2 billion annually by the end of the decade, marking a significant investment in India's aerospace ecosystem. Remi Maillard, President of Airbus India and Managing Director for the South Asia region, emphasized the country’s dual role as both a key market and a strategic industrial base for Airbus.

Addressing Supply Chain Challenges

Reflecting on the supply chain disruptions that have plagued the industry, Benoit observed that while stability is returning, vigilance remains essential. “The situation can change quickly, so we cannot afford to rest,” he warned. Despite these challenges, Airbus remains optimistic about meeting its delivery commitments and ramping up production to address the global demand for aircraft.

India’s Growing Role in Global Aviation

The ballooning backlog of aircraft orders for Indian carriers highlights the country’s rising influence in the global aviation market. Simultaneously, Airbus’s increased sourcing from India aligns with the company’s broader strategy to deepen its industrial ties with the nation. As the Indian aviation sector continues to expand, Airbus’s commitment to leveraging India’s resources and expertise positions the country as an integral part of the global aerospace supply chain.

India’s ascent in the aviation world not only reflects the growing demand for air travel but also signifies the country’s emergence as a strategic hub for aerospace innovation and manufacturing.