Modi, Biden hail landmark agreement between Air India and Boeing

Prime Minister Narendra Modi spoke with US President Joe Biden on Tuesday and the two leaders hailed the landmark agreement between Air India and Boeing as a shining example of mutually beneficial cooperation that will help create new employment opportunities in both countries. According to an announcement by the White House, Boeing and Air India have reached an agreement under which the airline will purchase 220 planes from Boeing -- 190 B737 MAX, 20 B787, and 10 B777X -- for USD 34 billion. There will be an option to buy 70 more aircraft that could take the total transaction value to USD 45.9 billion.

Prime Minister Narendra Modi has thanked French President Emmanuel Macron for joining him at the launch of an important partnership between Air India and Airbus. In a tweet, Mr Modi said this agreement will further strengthen the Indian aviation sector and create opportunities in both nations. Prime Minister said, this reflects the robust Indo-French Strategic Partnership.

Earlier The Tata Group-owned Air India on Tuesday said it will buy a total of 470 wide-body and narrow-body planes from Airbus and Boeing, and the total deal value is estimated to be USD 80 billion (around Rs 6.40 lakh crore) as the airline expands its operations. "The order comprises 40 Airbus A350s, 20 Boeing 787s and 10 Boeing 777-9s wide-body aircraft, as well as 210 Airbus A320/321 Neos and 190 Boeing 737 MAX single-aisle aircraft. The A350 aircraft will be powered by Rolls-Royce engines, and the B777/787s by engines from GE Aerospace. All single-aisle aircraft will be powered by engines from CFM International," the airline said in a statement. According to Air India, the first of the new aircraft will enter service in late 2023 and the bulk of the planes are to arrive from mid-2025 onwards.