Airbus has announced plans to further increase its sourcing of components from India, a plan which has already doubled to €1 billion in procurement between 2019 and 2024. The European aircraft manufacturer, which has secured significant aircraft orders from IndiGo and Air India, currently works with more than 100 Indian suppliers, according to CEO Guillaume Faury.
Speaking at a press briefing in New Delhi, Faury stated that the company plans to continue expanding its sourcing from India, with expectations of doubling procurement every five years. “We will continue to grow… it is a stable pace,” Faury said.
In 2023, the value of aircraft and helicopter equipment sourced from India surpassed the value of IT services for the first time, marking a shift in the types of goods being sourced by Airbus. Additionally, companies associated with the French Aerospace Industries Association (GIFAS), which Faury also chairs, currently make procurement worth $2 billion annually from India.
Airbus, which has an order backlog of approximately 8,600 aircraft, expects to produce around 770 planes by the end of this year. Orders from IndiGo and Air India collectively exceed 1,000 planes.
In related news, a delegation from GIFAS, consisting of over 60 companies and more than 100 representatives, is visiting India from October 7 to 10, 2024, to explore further partnerships and business opportunities in the aerospace sector. Guillaume Faury, Chairman of GIFAS and CEO of Airbus, will take part in a France-India seminar (open to the press) on Monday 7 October (11.00 am) at the Hotel Taj Mahal Mansing Road, alongside the French Ambassador to India, Thierry Mathou and Indian officials led by Shri Kinjarapu Rammohan Naidu, Hon’ble Union Minister of Civil Aviation, Govt. of India.
The press conference will be held at 2 pm and feature Guillaume Faury, Didier Kayat (Chairman of GIFAS ‘equipment manufacturers group – CEO of Daher) and Clémentine Gallet (Chairwoman of GIFAS’ MSMEs group – CEO Coriolis Composites).
The Indian delegation, led by SIDM, FICCI and ISPA, GIFAS’ counterparts in India, counts 160+ guests from the industry.