Akasa Air Buys 72 of Their 737 MAX Aircraft

Boeing added another banner sale to its order book, with 72 of its 737 MAX aircraft set to go to Indian Airline Akasa Air.

The brand, under SNV Aviation, is set for the $9 billion list value for Boeing's former problem child. It would seem the MAX is past the worst of its troubles, back in service and cleared for mostly worldwide service after concerns of its safety systems arose in 2019. The Sale includes two variants, the 737-8 and the higher capacity 737-8-200.

Akasa selected the MAX for its low seat-mile costs, extraordinary dispatch reliability, and improved passenger experience. In the expanding Indian market, a comfortable, tech-forward single-aisle aircraft could be a decisive factor in filling seats amidst a sea of competitors. The improved MAX boasts superior fuel efficiency, flexibility, and reliability to its predecessors in the long running 737 line. Carbon emissions and fuel burn are at least 14% lower than the legacy aircraft it replaces, important for a region that faces daunting growing pains in pollution and air quality. The burgeoning middle class will fuel strong demand in the market, with an estimated 2,200 new airplanes needed across South Asia over the next 20 years, according to Boeing's Commercial Outlook forecast. 

Akasa Air CEO Vinay Dube described the match as a perfect fit for the company, saying "We are delighted to partner with Boeing for our first airplane order and thank them for their trust and confidence in Akasa Air's business plan and leadership team. We believe that the new 737 MAX airplane will support our aim of running not just a cost-efficient, reliable and affordable airline, but also an environmentally friendly company with the youngest and greenest fleet in the Indian skies."

Dube added, "India is one of the fastest-growing aviation markets in the world with an unparalleled potential. We are already witnessing a strong recovery in air travel, and we see decades of growth ahead of us. Akasa Air's core purpose is to help power India's growth engine and democratize air travel by creating an inclusive environment for all Indians regardless of their socio-economic or cultural backgrounds."

FMI: www.boeing.com