AIRASIA INDIA SET TO EXPAND

Aiming at massive expansion, Malaysiabased low-cost carrier AirAsia has placed a $12.6-billion order with Airbus for 100 Airbus A321neo airliners. This is AirAsia’s first ever order for the extended variant of the popular A320neo family. The announcement was made by AirAsia Group Chief Executive Officer Tony Fernandes and Airbus President and CEO Fabrice Brégier at the Farnborough Air Show held earlier this year. The A321neo offers seating up to 240 passengers as compared to the 189 of the A320neo.

While interacting with the media, Tony Fernandes hinted at a significant expansion of operations by AirAsia in India. “We are really excited about India”. Saying “potential is huge”, he sees opportunities of 200 to 300 aircraft in India given the small aircraft population as compared to the size of the market. “We will probably be back here ordering more aircraft for the Indian market. Now that the five year restriction is lifted, we are looking to accelerate. We are keen to grow our international operations. We are not in to taking away market share from anyone; we want to grow the market.” Outlining strategy, Fernandes wants AirAsia to leverage its strengths in international operations to bring foreign tourists to India, but to smaller, secondary airports.