Air India Plans to Expand Wide-Body Jet Orders and Targets Profitability Under CEO Tewolde Gebremariam — November 3, 2026
Tata Group-owned Air India is actively seeking to expand its existing aircraft order book with additional wide-body jets as it accelerates plans to scale up its long-haul international network and transition into a profitable carrier.
Speaking at the Aviation India Summit, Air India Managing Director and Chief Executive Officer Tewolde Gebremariam noted that the airline has been "punching below its weight" internationally and signaled an urgent drive to restore the flag carrier's market presence.
Scaling Wide-Body Capacity for Overseas Routes
Air India previously placed a mammoth 470-aircraft order with Airbus and Boeing in February 2023, later topping it up with additional commitments. However, the airline is now engaged in fresh discussions with both planemakers to acquire more twin-aisle wide-body aircraft.
The push comes as the carrier contends with constraints across long-haul operations, where aging jets, maintenance delays, and geopolitical airspace disruptions have forced temporary frequency cuts across major overseas destinations.
Key drivers for expanding the wide-body order book:
- Meeting Diaspora Demand: Addressing strong passenger traffic on core long-haul routes to the United States and Europe, where frequencies to hubs like Chicago, San Francisco, and Washington had been trimmed due to fleet availability.
- Fleet Modernization: Replacing less efficient legacy aircraft to reduce maintenance outlays and elevate cabin product consistency.
- Mitigating Airspace Constraints: Overcoming operational drag caused by the continued closure of Pakistan's airspace, which imposes flight path detours and higher fuel burns on westbound flights out of northern India.
To counter airspace restrictions, the airline is rebalancing its hub strategy by routing more westbound long-haul departures out of southern and western gateways, including Mumbai and Bengaluru, rather than concentrating primarily in New Delhi.
Sharpening Cost Structures to Achieve Profitability
Addressing the financial health of the carrier, Gebremariam stated that returning to operating profit remains the top immediate priority, noting he is "more impatient than shareholders to see Air India turn profitable."
Air India incurred substantial financial headwinds in FY26, posting losses of ₹22,000 crore amid surging jet fuel costs, operational integration expenses, and route deviations. The carrier has required capital support from co-investors Tata Sons and Singapore Airlines to fund its multi-year operational turnaround.
The airline's leadership noted that cost per available seat kilometer (CASK) has outpaced revenue per available seat kilometer (RASK), a structural deficit the management is addressing through tighter capacity management, operational streamlining, and modern fuel-efficient inductions.
Strategic Impact on Indian Aviation
For the broader Indian aviation ecosystem, Air India’s aggressive expansion in long-haul capacity is aimed at recapturing high-yield international passenger flows that have historically transited through Middle Eastern and European hub airports. Gebremariam noted that India possesses all the underlying demand fundamentals required to develop into a premier global aviation transit hub, provided that airport infrastructure, regulatory frameworks, and fleet additions align effectively.
