Air India Pursues Boeing Jets Rejected by Chinese Firms Amid Trade Tensions
Air India is pursuing Boeing 737 Max jets initially meant for Chinese airlines that were rejected due to US-China trade tensions. The airline aims to bolster its fleet for competitive positioning against IndiGo. Additionally, Air India plans to convert its existing business class to an all-economy format by April 2026, but faces delivery challenges and supply chain issues.
Air India is currently seeking to acquire unused Boeing 737 Max jets that were initially destined for Chinese airlines but have been rejected due to the ongoing trade conflict between the United States and China. The airline’s budget subsidiary, Air India Express, plans to secure these aircraft amidst critical competition in the Indian aviation market. This development has emerged as Air India aims to strengthen its fleet following the cancellation of prior deliveries to Chinese carriers as a result of tariff disputes, according to a Bloomberg report.
According to sources familiar with the situation, Air India intends to approach Boeing regarding these aircraft that were meant for Chinese operators, which were affected by directives from the Chinese government against accepting Boeing jets. The report indicates that approximately ten 737 Max planes, previously intended for delivery, were returned to the United States. Air India has expressed an interest in future booking slots for additional aircraft as they become available.
This strategy is not unprecedented; earlier in March, Air India acquired 41 Boeing 737 Max planes that had been allocated to Chinese carriers but were not delivered due to the grounding of the model in 2019. Currently, the airline is set to receive nine more 737 Max aircraft by June, increasing its total to fifty. This proactive approach comes amidst speculations that the supply of available aircraft may endure, despite initial concerns.
To remain competitive, Air India plans to transition its existing business class seating to an all-economy configuration by April 2026. However, challenges persist in its procurement efforts, particularly due to supply chain issues. The 140 narrowbody aircraft ordered from Boeing in 2023 are not expected to be delivered before March 2026, necessitating the urgent acquisition of any available planes to maintain competitive parity with IndiGo, the leading carrier in India.
Acquisition of these Boeing jets may present difficulties, as the original airline customers may have specific cabin configurations already decided, along with pre-paid contractual obligations to Boeing. Therefore, the transfer of these jets from Chinese airlines to others may not be straightforward given existing contracts and commitments.
In summary, Air India is strategically seeking to capitalize on Boeing jets that have been rejected by Chinese carriers due to trade tensions between the US and China. This initiative aims to enhance its fleet to remain competitive, particularly against dominant players like IndiGo. Despite challenges in securing these aircraft, Air India’s proactive moves demonstrate its commitment to expanding and modernizing its operations amidst ongoing supply chain concerns and competition in the Indian aviation sector.
Original Source: www.hindustantimes.com
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