Saudia Group Orders $19B for 105 A320neo Family Planes, Largest Airbus Deal in Saudi History
Saudia Group, the largest airline in the Kingdom of Saudi Arabia, signed a $19 billion deal with Airbus for 105 new A320neo family planes.
This is the largest aircraft order in Saudi Arabia's history.
The deal includes 54 A321neo aircraft for Saudia and 12 A320neo and 39 A321neo aircraft for the group's low-cost carrier, flyadeal.
The first planes are expected to be delivered in Q1 2026.
The agreement was announced at the Future Aviation Forum in Riyadh, attended by Saudi Minister of Transport and Logistic Services Saleh bin Nasser AI-Jasser, Director General of Saudia Group Ibrahim Al-Omar, and Airbus' executive vice president sales Benoît de Saint-Exupéry.
Al-Omar, from Saudia, announced ambitious expansion plans for the airline to meet growing demand.
They will increase flights and seat capacity across their 100+ destinations on four continents, with plans for further growth.
The progress of Saudi Vision 2030 is attracting more visitors, tourists, entrepreneurs, and pilgrims, leading Saudia to secure a significant deal for 88 new aircraft over the next five years.
This addition to the fleet will create jobs, increase local content, and contribute to the national economy.
The renovation of the guest cabin promises a new experience in business and hospitality classes with privacy and innovation.
Saudi Airlines will introduce new A320neo planes by the end of 2025, contributing to Saudi Arabia's Vision 2030 plan.
These planes will offer superior efficiency, passenger comfort, lower fuel-burn, and emissions.
Starting in Q4 2024, the airline will provide fast internet services and equip planes with high-resolution, Bluetooth-enabled screens compatible with most smart devices.
Saudia, the national airline of Saudi Arabia, will upgrade its aircraft fleet, benefiting new and existing planes.
This move aligns with the country's National Transport and Logistics Strategy, aiming to enhance operational performance, increase flights and seat capacity, and launch new destinations.
The new aircraft will help Saudia connect the world to the Kingdom, supporting the objectives of Saudi Vision 2030, particularly in transportation and logistics (increasing capacity to 330 million and expanding destinations to 250 by 2030) and tourism (attracting 150 million visits by 2030).
Saudi Arabia aims to increase Umrah pilgrim capacity to 30 million by 2030, and to support this goal, the national airline, Saudia, is expanding its fleet with fuel-efficient A320 family aircraft.
This expansion comes as the Kingdom's second flag carrier, Riyadh Air, also grows, having ordered 78 Boeing 787-9 jets in 2022.
Riyadh Air is expected to make its first flight in 2025 and serve 100 countries by the end of the decade.
Saudi Arabia's aviation sector is part of a larger plan to grow the industry into a $2 billion business.
Saudi Arabia is planning to develop its business jet sector to boost its economy and position as a global high-value enterprise and tourist destination.
The strategy includes charter, private, and corporate aircrafts.
This comes after the country raised its tourism target from 100 million to 150 million visitors in October 2023.