Thai Airways to Acquire 45 Boeing Wide-body Jets

DALLAS — Thai Airways International (TG) has announced a deal with Boeing and GE Aerospace to expand its fleet by ordering 45 wide-body jets. The deliveries of these new aircraft will begin in 2027. According to the airline, this long-term aircraft acquisition plan is crucial for gradually replacing leased and aging aircraft.

In response to concerns raised by Transport Minister Suriya Juangroongruangkit, TG CEO Chai Eamsiri stated on Wednesday that not all of these planes will be purchased outright but that the plan was a crucial component of the company's approved rehabilitation plan, as sanctioned by the bankruptcy court.

Chai further explained that the acquisition of the new fleet will be carried out in a balanced manner, utilizing a combination of leasing and hire-purchase contracts to ensure a proper ratio.

HS-TKV Thai Airways B777-300ER YSSY SYD. Photo: Zixu Li/Airways

A Way Out of Bankruptcy Protection

Thai Airways went through a bankruptcy-protected restructuring in 2021 due to the impact of the pandemic on the aviation industry. The airline sold off assets, including planes and office space, throughout the restructuring process and reduced its workforce.

Chai stated that the airline could potentially exit restructuring this year, citing the growing travel demand, higher ticket prices, and the airline's strong route performance. The cabin factor represents the average number of seats sold, which, according to Reuters, was better than expected last year, particularly on European, Japanese, and Australian routes.

In addition to the firm order of 45 jets, the agreement also includes options for additional aircraft. Once the acquisition is complete, TG's fleet will reach 96 jets. The airline expects these new jets to capture enough traffic to generate at least 180 billion baht (US$4.98 billion) in annual revenue from 2025 onwards, in line with TG's rehabilitation plan.

Featured image: Last year, Thai Airways slowly started reconstructing its European network by launching direct flights to Istanbul, the hub of Turkish Airlines. Thai Airways Boeing 777. Photo: Nick Sheeder/Airways