Paris, July 5, 2025 – AirAsia has signed a landmark Memorandum of Understanding (MoU) with Airbus for the purchase of 50 Airbus A321XLR aircraft, with conversion rights for 20 additional units, bringing the total potential order to 70 jets. The deal, announced during an official ceremony in Paris and witnessed by Malaysian Prime Minister Anwar Ibrahim, is valued at USD 12.25 billion at list prices.
This marks the airline’s first major aircraft order since the pandemic and signals AirAsia’s ambition to become the world’s first low-cost narrow-body network carrier, capable of operating long-haul routes using fuel-efficient single-aisle aircraft.
“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….The A321XLR and A321LR are the game-changers enabling this vision,” said Tony Fernandes, CEO of Capital A.
The Aircraft
The Airbus A321XLR (Extra Long Range) is the longest-range version of the A321neo family and offers up to 20% lower fuel burn per seat compared to previous-generation aircraft. Deliveries are scheduled between 2028 and 2032.
Network Reach & Multi-Hub Strategy
AirAsia plans to deploy the new aircraft across its major hubs in Kuala Lumpur and Bangkok, with new ultra-low-cost routes planned to Central Asia, Middle East and Europe.
The aircraft’s extended range of up to 4,700 nautical miles will enable direct or one-stop flights from Asia to key long-haul destinations.
“The A321XLR unlocks new opportunities for AirAsia to launch non-stop flights linking primary and secondary cities all around the globe,” said Christian Scherer, Airbus Chief Commercial Officer.
Growth Ambitions
The A321XLR order is a strategic play to support long-term recovery, network expansion, and brand transformation. It helps Capital A show vision, attract capital, and reposition itself globally while moving toward exiting PN17 status.
The airline is targeting 150 million passengers annually by 2030.
AirAsia’s bold move into the A321XLR space signals a new chapter—not just for the airline, but for the entire low-cost carrier model. With ultra-long-range narrow-body aircraft, the group aims to unlock new destinations while maintaining its trademark affordability.
Image: Pexels/Pham Huynh Tuan Vy
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