Air India CEO Plans Wide-Body Expansion to Build Global Hub
Tewolde Gebremariam announced plans to expand Air India's wide-body fleet and develop multiple international gateways to compete with Gulf carriers and restore profitability.
Air India CEO Tewolde Gebremariam announced a strategy to establish India as a global aviation hub by developing multiple international gateways in Delhi, Mumbai, Bengaluru, and Hyderabad. Speaking at the Aviation India Summit in New Delhi, Gebremariam stated that the airline aims to increase its share of connecting traffic from 10 percent to 50 percent to better compete with Gulf carriers.
To support these ambitions, the airline plans to increase orders for wide-body aircraft from Airbus and Boeing. This expansion is intended to increase international passenger traffic and restore service frequencies to major cities, including Chicago, San Francisco, and Washington.
Financial challenges remain a primary concern, as Air India reported losses of Rs 22,000 crore in FY26. Gebremariam noted that operating costs currently exceed revenue per available seat kilometre, a situation exacerbated by geopolitical disruptions and the closure of Pakistan's airspace. The airspace closure has forced a network rebalance, shifting westbound flights from Delhi to Mumbai and Bengaluru.
To address these losses and fund its transformation, Air India has sought additional funding from the Tata Group and Singapore Airlines. Gebremariam has formed a multi-functional team focused on efficiency to accelerate the return to profitability, while the Tata Group remains committed to the airline's long-term growth.
