LE BOURGET, FRANCE – Indian low-cost carrier IndiGo said on Monday it had ordered a record 500 A320 airliners from European manufacturer Airbus at the Paris Air Show.
With a list price of $55 billion – although the closely-held actual sale prices are usually lower – the deal is the largest ever civil aviation order and a “historic” step for both companies, IndiGo chief Pieter Elbers said.
The planes are slated for delivery between 2030 and 2035.
Airbus boss Guillaume Faury said Monday’s signing was “an enormous milestone, to our knowledge and recollection no-one has ever ordered” so many planes at a stroke.
With an order book now at over 1,300 aircraft, the contract also makes IndiGo Airbus’ largest customer for the A320 family, as it races to expand with demand in the world’s most populous country.
The no-frills carrier is one of the largest for internal flights in India, which was the world’s fastest-growing air passenger market before the coronavirus pandemic.
Rival Air India had been the previous record-holder for the largest single order, at 470 aircraft in February 2022 — although that was split between Airbus and American competitor Boeing.
This year’s airshow has a new focus on defense following Russia’s invasion of Ukraine, along with the industry’s efforts to reduce its carbon footprint, with French President Emmanuel Macron arriving in a helicopter partly using sustainable aviation fuel (SAF).
Macron called for “restraint” to protect the environment but said measures for aviation should be “reasonable” rather than “punitive”, adding that the world shouldn’t “give up on growth”.
Macron had on Friday announced $2.2 billion to help develop technologies to reduce aircraft emissions.
Air travel accounts for nearly three percent of global CO2 emissions but serves only a small minority of the world’s population.
With the industry targeting net zero emissions by mid-century, firms are turbocharging efforts to achieve it.
Huge traffic jams around Le Bourget airport outside Paris were testament to the interest in this year’s show, as aircraft makers field hundreds of orders and airlines brace for a near-record number of passengers this year.
The Ukraine conflict has also prompted countries to step up military spending, which could benefit aerospace defense firms.