Saudi Arabia’s national airline, Saudia Group, has placed an order for more than 100 new Airbus jets as part of the kingdom’s efforts to attract more tourists. The order includes 105 aircraft from Airbus’s A320neo family, with 12 A320neos and 93 A321neos. This order brings Saudia Group’s Airbus aircraft backlog to 144 planes, reflecting the airline’s commitment to increasing flights and seat capacity across its 100-plus destinations to meet Saudi Arabia’s tourism goal of attracting over 150 million tourists by 2030.
Airbus’s commercial aircraft business has been performing well, with the company reporting healthy results in its latest annual earnings report. The company has set a target of 800 commercial aircraft deliveries, 67 more than in the previous year. This success comes in contrast to its U.S. rival Boeing, which has been facing challenges following the crashes of its Max jets in 2018 and 2019. A recent incident involving an Alaska Airlines 737 Max 9 has further added to Boeing’s troubles.
The A321neo, a single-aisle aircraft with 180 to 230 seats, has been a key factor in Airbus’s success. The aircraft is equipped with highly fuel-efficient engines, which help airlines save money on fuel costs. In response to the A321neo, Boeing introduced the Max, a 737 with new engines, but has encountered technical issues along the way. Despite Boeing’s challenges, Airbus may not be able to extend its advantage in the Airbus-Boeing duopoly much further due to its backlog of over 8,600 orders, indicating that the company is already producing planes at a fast pace.
Saudi Arabia’s move to order more Airbus jets aligns with the country’s vision of boosting its tourism sector. The kingdom aims to attract millions of tourists by 2030, and the increased flights and seat capacity from the new aircraft will play a crucial role in achieving this goal. The investment in new aircraft also highlights Saudia Group’s commitment to modernizing its fleet and providing a better travel experience for passengers. This strategic move is expected to have a positive impact on the country’s economy and tourism industry in the years to come.
Airbus’s success in securing the order from Saudia Group reinforces its position as a leading aircraft manufacturer in the global market. The company’s emphasis on fuel efficiency and innovative technology has resonated with airlines, leading to a growing number of orders for its aircraft. As the aviation industry continues to recover from the impact of the COVID-19 pandemic, Airbus’s strong performance and continued focus on delivering high-quality aircraft are likely to position it favorably in the competitive market. Saudi Arabia’s decision to partner with Airbus for its fleet expansion reflects confidence in the company’s products and long-term prospects.
