Dubai, UAE — Low-cost airline flydubai signed a $13 billion initial order for 75 Boeing jets on Wednesday, as the city’s carriers bolster their fleets before shifting to a new airport with the world’s biggest passenger capacity.
State-owned flydubai and its long-haul partner airline, Emirates, have been the chief deal-makers at this week’s Dubai Airshow, the largest in the Middle East, signposting their expansion plans.
Dubai, the United Arab Emirates’ skyscraper-laden commercial jewel, will soon start work on a new airport with capacity for a world-leading 150 million passengers a year, slated to open in 2032.
Dubai’s current international airport announced a record quarter of 24.2 million passengers. The facility has been the busiest for international passengers for the past 11 years.
Flydubai’s provisional agreement to buy 75 Boeing 737 MAX, valued at $13 billion, came a day after another initial deal for 150 Airbus A321neos, its first with the European manufacturer.
The Airbus jets’ nine-hour flight range opens up more potential destinations across Europe, Africa, Central Asia and Southeast Asia, giving flydubai “a very unique opportunity for expansion”, said flydubai CEO Ghaith Al Ghaith.
“We will definitely go to new places all over the world, but also there are certain places in our existing network that we also can use this aircraft on,” he told reporters.
‘Big circle of capability’
Dubai’s air industry, which accounts for about a third of the emirate’s economy, has been on a tear since a pandemic-enforced shutdown of 2020.
Emirates, the world’s most profitable airline, announced first-half net income of $2.9 billion this month, up 13 percent. Flydubai saw record profits last year.
Meanwhile the airport has become a major hub trading on its strategic position at the nexus of Europe, Asia and Africa, which Dubai Airports CEO Paul Griffiths hailed as “a huge advantage”.
Long-haul giant Emirates signed for eight Airbus A350-900s worth $3.4 billion on Wednesday, after snapping up 65 Boeing 777Xs earlier in the week.
The airport’s third-quarter passenger numbers were up 1.9 percent, taking this year’s traffic to 70.1 million and putting Dubai on course for a record 95.2 million in 2025.
“I think the underlying reason is the attractiveness of Dubai as a city to come and live or visit, particularly over the last years since the pandemic,” Griffiths said.
