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Home»Business»AirAsia to disrupt global travel as the world’s first low-cost narrow-body network carrier with landmark agreement for 70 A321XLRs
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AirAsia to disrupt global travel as the world’s first low-cost narrow-body network carrier with landmark agreement for 70 A321XLRs

GabrielBy GabrielJuly 5, 2025No Comments3 Mins Read
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  • AirAsia signs Memorandum of Understanding for 70 Airbus A321XLR aircraft to support the expansion of its global low-cost carrier network, positioning Kuala Lumpur and Bangkok as key aviation hubs
  • The A321XLR will enable AirAsia to serve longer-range, underserved routes more efficiently, including into Central Asia, the Middle East, and Europe
  • AirAsia Group aims to carry 150 million guests annually by 2030, reaching a cumulative total of 1.5 billion guests since inception
  • The A321XLR offers up to 20% lower fuel burn per seat, boosting operational efficiency and advancing the Group’s environmental performance goals

AirAsia Berhad, a wholly-owned subsidiary of Capital A Berhad, signed a landmark agreement with Airbus valued at USD12.25 billion for 50 A321XLRs with rights for 20 A321XLRs. With this agreement, the airline takes a major step towards becoming the world’s first low-cost narrow-body network carrier, anchored by its multi-hub strategy. The aircraft are scheduled for delivery commencing 2028 through 2032.

Witnessed by Prime Minister of Malaysia YAB Dato’ Seri Anwar Ibrahim, the agreement was signed today in Paris between Tony Fernandes, CEO of Capital A, and Christian Scherer, CEO of Airbus Commercial Aircraft.

Tony Fernandes, CEO of Capital A and Advisor & Steward of AirAsia Group said: “We pioneered low-cost travel in Asia – now, we are taking it to the next level. AirAsia is on a transformative journey to become the world’s first low-cost network carrier. This is about exponential growth, connecting geographies beyond Asean, and making flying even more democratic. We gave people in Asean the opportunity to explore Asia – now we want the world to see Asean, and Asean to see the world. The A321XLR and A321LR are the game-changers enabling this vision, and we are proud to lead the charge in making our world smaller. We can’t wait to paint the skies even wider in red.”

Christian Scherer, CEO Commercial Aircraft at Airbus said: “We are pleased to confirm this agreement, as AirAsia Group begins its next development chapter. Having resumed its growth trajectory, which we salute and support, the airline is creating solid fleet efficiencies, allowing global network expansion. The A321XLR unlocks new opportunities for AirAsia to launch non-stop flights linking primary and secondary cities all around the globe.”

The next-generation A321XLRs will operate alongside AirAsia’s all-Airbus fleet of A320 Family and A330 aircraft, supporting its long-term strategy to deliver unmatched connectivity across Asia and beyond, while maintaining a low-cost model through improved route economics, enhanced aircraft utilisation and fleet efficiency. AirAsia Group aims to carry 150 million guests annually by 2030, reaching a cumulative total of 1.5 billion guests since inception.

The new fleet plays a pivotal role in this transformation. AirAsia’s multi-aircraft strategy enables the airline to match capacity with demand, reduce fuel consumption, and support a sustainable, cost-effective growth model in a highly competitive global landscape. The A321XLR also offers up to 20 per cent lower fuel burn per seat than the Airbus A321neo aircraft, significantly improving emissions performance and operating efficiency.

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Gabriel
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Introvert, wanderer, blogger, foodie, a hip-hop music writer, and one of the co-founders of a tech start-up company called GigsManila.

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