AirAsia Berhad, a subsidiary of Capital A Berhad, is poised to redefine the future of air travel with its latest agreement with Airbus for the acquisition of 70 A321XLR aircraft. Valued at approximately USD 12.25 billion, this strategic deal comprises firm orders for 50 aircraft with purchase rights for an additional 20. Deliveries are scheduled to begin in 2028 and will continue through 2032.
This milestone agreement solidifies AirAsia’s ambition to become the world’s first low-cost narrow-body network carrier, leveraging its established multi-hub strategy to expand its reach beyond ASEAN and across the globe. The signing ceremony took place in Paris and was witnessed by Malaysian Prime Minister YAB Dato’ Seri Anwar Ibrahim. Signing on behalf of their respective companies were 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.”
Fernandes further noted that the A321XLR and its long-range sibling, the A321LR, are pivotal in realizing this vision, enabling AirAsia to expand its network to new, longer-haul destinations and bringing ASEAN closer to the world.
Christian Scherer of Airbus echoed this sentiment, stating, “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 A321XLR’s extended range and efficiency will complement AirAsia’s existing all-Airbus fleet, which includes the A320 Family and A330 widebodies. The addition of these next-generation aircraft supports AirAsia’s long-term strategy to boost connectivity while maintaining its low-cost operating model through improved route economics, enhanced aircraft utilization, and greater fleet efficiency.
AirAsia Group’s ambitious target is to carry 150 million passengers annually by 2030, aiming to reach a cumulative total of 1.5 billion guests since its inception. The A321XLR’s fuel-efficient design — delivering up to 20% lower fuel burn per seat compared to previous models — aligns with the airline’s goals of reducing environmental impact and supporting sustainable growth.
With this landmark agreement, AirAsia is not only expanding its fleet but also reshaping the future of budget travel by extending its affordable, accessible flights to a truly global scale.