The US-China trade tensions may open a golden window of opportunity for Indian budget carriers like Air India Express and Akasa.
As geopolitical tensions rise, the global aviation industry is witnessing unexpected shifts. China’s latest move—asking its airlines to stop purchasing Boeing aircraft and related components—could prove to be a windfall for Indian carriers. This development comes in the wake of U.S. President Donald Trump’s 145% tariffs, which triggered a swift response from Beijing.
China’s top airlines, including Air China, China Eastern, and China Southern, were collectively set to receive hundreds of Boeing aircraft, including around 100 Boeing 737 MAX jets and 11 Boeing 787 Dreamliners. Interestingly, the same models are currently in the order books of Indian airlines, notably Air India Express and Akasa.
We anticipate some of these aircraft, originally destined for Chinese carriers, will be redirected to Indian customers,” aviation experts shared with TOI.
White Tails May Fly to India Again
This wouldn’t be the first time such a shift has happened. In previous years, Indian airlines acquired “white tail” aircraft—planes built for one airline but delivered to another—due to global order changes. Last year, Air India Express received 25 white tail Boeing 737 MAX aircraft and was scheduled for 25 more.
Now, with production lines in Seattle expected to slow down due to China’s withdrawal, there’s a high chance these unused aircraft slots could be filled by Indian airlines. According to insiders, Akasa and Air India Express may receive additional aircraft, either already built or specifically manufactured.
Boeing Delays and Indian Advantage
While Boeing’s ongoing delivery delays have frustrated Indian carriers like Akasa—leading to more pilots than planes and dissatisfaction among idle crew—the airlines remain financially strong. Both Akasa and Air India Express are well-positioned to absorb additional aircraft if made available and are ready to act quickly.
Many of the white tail jets come with unique interior configurations, such as rows of 2×2 business seats, as initially requested by the original (Chinese) buyers. Indian carriers have shown flexibility in accepting these aircraft to expand rapidly.
The Boeing-Airbus battle could tilt in favor of Indian airlines as China shifts focus to Airbus, increasing the chances for Indian carriers to receive more Boeing jets.
The Bigger Picture: Trade War Hits the Skies
The situation is part of a larger US-China trade war, now extending into the aerospace industry. Tariff-related confusion is causing aircraft deliveries to be postponed, and airlines across the world are reassessing billion-dollar contracts. As Beijing halts aircraft-related purchases from U.S. firms, Indian airlines may emerge as unexpected winners in this global reshuffle.
With Chinese orders frozen, Boeing’s unallocated aircraft and production capacities might just find a new home in India—giving Air India Express, Akasa, and potentially others a head start in a highly competitive market.
