Riyadh Air placed a firm order for 25 Airbus A350-1000 planes at the Paris Air Show on Monday, expanding its wide-body fleet as part of Saudi Arabia's broader plans to become an aviation and tourism hub.
The Saudi start-up airline's agreement includes options for 25 more aircraft of the same model, Airbus said on Monday during the first day of the event in Le Bourget.
"It’s a clear signal of our intent to shape the future of air travel and contribute meaningfully to the kingdom’s fast-growing aviation ecosystem," said Adam Boukadida, chief financial officer of Riyadh Air.
The long-anticipated order marks the airline's second deal for wide-body planes. In March 2023, Riyadh Air, backed by the Public Investment Fund, placed an order for 39 Boeing 787 Dreamliners, with options for 33 more. It has yet to firm up these options.
Monday's announcement is Riyadh Air's second deal with Airbus. Last October, it placed an order for 60 A321 Neo narrow-body aircraft as it builds up its fleet for short-haul trips.
The airline, which expects to begin its first commercial flight in the fourth quarter of this year, is part of Saudi Arabia's broader plan to attract affluent, high-spending tourists, rather than mass volumes of travellers.
Saudi Arabia plans to become a travel hot spot, having invested $800 billion to develop the sector and set a revised target of attracting 150 million visitors by the end of the decade.
Riyadh Air recently received its Air Operator Certificate, took delivery of its first technical spare aircraft, and is set to announce the first of its routes and flight dates in the coming months, it said in April.
The agreement with Riyadh Air marked Airbus's second order at the first day of the Paris Air Show. It came a few hours after the European plane maker signed a deal with Saudi plane lessor AviLease for up to 77 aircraft.
Airbus expects global demand for 42,450 new passenger planes between 2025 and 2044, according to its Global Market Forecast released before the Paris Air Show. That is up 2 per cent from its previous forecast.
The Paris Air Show, which takes place during the week beginning June 16 at Le Bourget in the north-eastern suburbs of the French capital, is the world's biggest aviation trade show.
The biennial expo comes only days after Air India flight 171, a Boeing 787 Dreamliner, crashed in the city of Ahmedabad, killing all but one of the 242 people on board and others on the ground.
Boeing's chief executive Kelly Ortberg and its chief of commercial planes unit Stephanie Pope have cancelled their planned trip to the show. The US plane maker has limited its schedule at the event as it focuses on supporting the Air India crash investigation.
Its European rival is expected to dominate this year's Paris Air Show, whereas the US plane maker had hauled in major orders during a recent trip to the Middle East by US President Donald Trump last month.
