India is Cornerstone of Airbus Production
Hyderabad. At Wings India 2026, Airbus delivered a clear and confident message: India is no longer simply a high-growth aviation market, it is rapidly becoming one of the most strategically important pillars of global aviation. India is entering a defining decade.
Jürgen Westermeier, President and Managing Director of India and South Asia described India as a cornerstone of its production, services and long-term growth strategy. India already accounts for more than 10 per cent of its annual aircraft deliveries, a share expected to rise steadily in the coming years. But the story presented at the summit was not merely about aircraft sales. It was about structural transformation, of fleet size, infrastructure, services, industrial capability and technological depth.
A Strong Economic and Infrastructure Foundation
India’s macroeconomic trajectory provides the foundation for this aviation expansion. Now a $4 trillion economy and the fastest-growing major economy in the world, India offers what he termed “a strong foundation for a bright aviation future.” Infrastructure development has been central to this transformation. Over the past decade, the number of operational airports in India has more than doubled to approximately 150. This expansion has enabled deeper regional penetration and laid the groundwork for sustained passenger growth.
Behind the infrastructure is a growing workforce. Around 23,000 aviation professionals today support India’s aviation system, forming a critical backbone for operations, maintenance and training. At the same time, a rapidly expanding middle class, now estimated at 38 per cent of the population, is increasingly able to utilise air travel as a primary mode of transportation rather than a luxury.
Yet despite this growth, India remains under-penetrated in aviation terms. With roughly 850 aircraft in service and per capita air travel at just 0.13 trips per year, the market is still nascent compared to mature aviation economies. For Airbus, this gap represents opportunity, not limitation.
Maturing Market
India’s aviation growth over the past decade has been both quantitative and qualitative. The fleet has doubled in size, while the number of routes operated has tripled. This reflects not only rising demand but improved aircraft utilisation and smarter network strategies by Indian carriers. Looking ahead, the scale of expansion becomes even more striking. Indian airlines currently have more than 1,700 aircraft on order, one of the largest order backlogs globally. Approximately 72 per cent of this backlog is with Airbus, underscoring the company’s strong footprint in the market.
Importantly, India is inducting the latest generation of fuel-efficient aircraft. From advanced single-aisle platforms to new-generation wide-bodies, Indian carriers are building fleets aligned with global efficiency and sustainability standards. This shift reflects a maturing market that is increasingly competitive on international routes.
Indeed, Indian carriers’ share of international traffic has risen to 47 per cent, an increase of nearly 10 percentage points over the last decade. This growth signals stronger global positioning and reduced dependence on foreign carriers for long-haul connectivity.
The Next Decade
Airbus projects that India’s aviation market will accelerate sharply over the next 10 years. Per capita air trips are expected to double from 0.13 today to 0.27 by 2035. In absolute terms, this translates to roughly 400 million annual trips to, from and within India.
By 2035, India is forecast to move from the world’s fifth-largest aviation market to the third-largest, with a compound annual growth rate of approximately 8.9 per cent.
To support this demand, the aviation ecosystem will expand across multiple fronts, he said and mentioned that the number of airports is projected to increase from 150 to around 200. The fleet is expected to triple to approximately 2,200 aircraft and annual passenger capacity will exceed 460 million seats.
Interestingly, passenger capacity is projected to grow fourfold, outpacing fleet growth. This is driven by the increasing introduction of higher-capacity aircraft, including wide-body jets and larger single-aisle platforms such as the A321. The shift indicates deeper trunk connectivity and a gradual expansion of long-haul operations.
Cargo will grow alongside passenger traffic. Annual freight capacity is projected to exceed 5,000 kilotons, roughly triple today’s levels, reinforcing India’s ambitions as a logistics and manufacturing hub.
MRO: A $9.5 Billion Market in the Making
One of the most significant opportunities identified by Airbus lies in Maintenance, Repair and Overhaul (MRO). The Indian MRO market, he said, is expected to grow from $3 billion today to approximately $9.5 billion within a decade. This growth will span airframe maintenance, component MRO and engine services.
Heavy checks and base maintenance demand are set to more than triple due to rapid fleet expansion. While India already has MRO facilities serving domestic and neighbouring markets, additional investments are underway. Major airlines are increasingly building in-house MRO capabilities, and global OEMs are partnering with Indian players to localise services.
Airbus reaffirmed its commitment to strengthening India’s MRO ecosystem by providing training, tooling, materials supply and consulting support. As the country’s relatively young fleet matures, maintenance demand will accelerate, making the coming decade critical for capacity building.
Digitalisation and AI
As India’s fleet expands from 850 aircraft to over 2,000, operational complexity will increase exponentially. Manual systems and fragmented processes will no longer suffice. Airbus projects that digital aviation services — including AI-driven predictive maintenance, performance monitoring and operational analytics — will grow from a $0.3 billion market today to approximately $1 billion within a decade.
Predictive maintenance tools, real-time performance analytics and advanced KPI monitoring will become essential for managing cost efficiency and reliability. Aircraft upgrades and digital retrofits are also expected to double, reflecting increasing sophistication in fleet management practices. Digitalisation, in this context, is not optional it is foundational to sustainable growth, he said.
The ‘Make in India’ Phase
Westermeier highlighted Airbus’ expanding industrial footprint in India under the “Make in India” initiative. India is not only a major delivery destination but is increasingly becoming part of Airbus’ global production ecosystem. The next phase involves deeper industrial integration, localisation of complex aerostructures, development of advanced materials capability and expanded supply chain participation. By strengthening local manufacturing partnerships, investing in engineering capabilities and supporting indigenous aerospace development, Airbus aims to position India as both a market and a production hub.