AirAsia X A220 order signals shift to smaller jets in Asia
KUALA LUMPUR: AirAsia X Bhd’s record order for 150 Airbus A220-300 aircraft, valued at about US$19 billion at list prices, is highlighting a shift towards smaller, more efficient jets as Asian airlines seek to expand beyond major hubs, Jetcraft Commercial president Raphael Haddad said.
AirAsia X has placed a record order for 150 Airbus A220-300 aircraft, valued at around US$19 billion, signifying a shift towards smaller, more efficient jets in Asia. This move is driven by airlines' need to balance their desired fleet with aircraft they can actually secure, considering fuel costs and environmental targets that favor newer, more efficient aircraft.
The A220's fleet commonality, fuel efficiency, and cost discipline make it particularly suitable for large-scale low-cost operations, especially amid global uncertainties. AirAsia X's CEO Bo Lingam believes the A220 will enable the group to build the biggest and densest network while improving operational efficiency. The order could also benefit Malaysia's aviation industry by boosting demand for pilot training, engineering services, spare parts, and fleet management, thereby strengthening the country's position in the regional aviation supply chain.
However, Malaysia's ambition to become an aircraft leasing and finance hub will require more than just a growing fleet, with competitive tax policies, efficient aircraft registration procedures, and a supportive legal framework being crucial.
Written by urgent.news from New Straits Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
