Business

AirAsia puts major fleet decision on hold as cost and reliability take centre stage

Tony Fernandes says airline will spend another year assessing proposals from Airbus, Embraer and COMAC before committing to 150-aircraft order

Updated 10 months ago · Published on 06 Dec 2025 9:24AM

AirAsia puts major fleet decision on hold as cost and reliability take centre stage
AirAsia reveals in July that it was considering a substantial order for next-generation single-aisle aircraft, shortlisting the Airbus A220, Embraer E-Jet family and COMAC’s C919 - December 6, 2025

AIRASIA has pushed its decision on a major fleet renewal to next year, with chief executive Tan Sri Tony Fernandes saying the carrier requires more time to weigh the financial and technical implications of ordering up to 150 new narrowbody jets.

Fernandes said the group is continuing detailed negotiations with Airbus, Embraer and China’s COMAC as it evaluates which manufacturer can offer the most competitive combination of operating cost, engine reliability and delivery certainty.

“This is a big decision and we don’t take decisions like this lightly. We’re making good progress,” he said in an interview with Business Times during the launch of AirAsia’s revised cabin crew uniform policy, which now permits female crew members to wear the hijab while on duty.

He emphasised that the choice would ultimately hinge on long-term dependability. “Engine is part of cost and reliability. If you have an engine that isn’t reliable, you’re not going to buy the plane, right?”

AirAsia revealed in July that it was considering a substantial order for next-generation single-aisle aircraft, shortlisting the Airbus A220, Embraer E-Jet family and COMAC’s C919. According to Fernandes, the acquisition is crucial to rebuilding the airline’s network and strengthening its fleet following recent operational challenges.

“We have to find more aircraft and the market’s got to be confident that we also are safe. I think after Practice Note 17, we’ll get more offers of aircraft. Obviously, this 150-aircraft order plugs in a big gap,” te New Straits Times reported him saying.

“It’s important for two reasons. One, it continues to build our hub, and two, it fills a gap on aircraft because whichever aircraft we buy, we can get it in 2027.”

Fernandes also downplayed concerns over Airbus’ recent fuselage-panel quality finding, stressing that it would not influence AirAsia’s choice. “Fuselage is not an issue for us because we haven’t taken any of those planes. It’s a small issue. Airbus caught it in time. I don’t think it’s going to impact many airlines on this anyway.”

Airbus has recently addressed two separate matters: a supplier flaw affecting A320 fuselage panels and a required software rollback for the A320 Family’s flight-control systems. The latter affected 96 of AirAsia’s A320 aircraft but was resolved rapidly.

Fernandes said Airbus Commercial Aircraft CEO Christian Scherer had contacted him as the issue unfolded, and he praised AirAsia’s engineering team for their swift response. “Bo and the team, led by our engineering team, did a fantastic job… The guys did it in less than 24 hours.

“To rollback 96 planes is an enormous job. It made me think that the world doesn’t know what we went through, not just for this. This is really a minor one compared to our engine issue, PN17 and all,” he said. - December 6, 2025

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