The Indian aviation sector is poised for substantial progress in 2025, driven by major mergers, expanded fleets, and enhanced infrastructure. Air India completed its merger with Vistara on November 12, consolidating operations under partial ownership by Singapore Airlines. The unified carrier now connects over 90 destinations and serves 120,000+ passengers daily. Additionally, the Tata Group streamlined its operations by merging Air India Express and AIX Connect, differentiating full-service and low-cost offerings. Fleet expansion was a focal point, with Air India ordering 100 Airbus planes in December, adding to its earlier 470-plane order. IndiGo marked its 18th anniversary with the addition of wide-body A350-900 jets and introduced business-class seating.
With domestic air traffic projected to hit 164–170 million passengers by March 2025, the sector is prioritizing wide-body aircraft and increasing direct international connections to establish India as a global aviation leader.
However, challenges remain. Supply chain disruptions and engine issues have delayed aircraft deliveries, while Jet Airways’ liquidation highlighted financial instability in the sector. Safety concerns arose after a roof collapse at Delhi’s Terminal One, and airlines received 999 hoax bomb threats by mid-November. On December 5, the Indian government enacted The Bharatiya Vayuyan Vidheyak 2024, replacing the outdated Aircraft Act to enhance aviation manufacturing and ease of business.
New airports in Noida and Navi Mumbai, set to open in 2025, aim to reduce congestion at Delhi and Mumbai airports. SpiceJet secured $352.6 million to manage its financial difficulties, and Akasa Air placed an order for 150 Boeing 737 MAX planes, rejecting recent safety allegations. Despite obstacles, India’s aviation industry is on a transformative path, steadily moving toward becoming a key player in the global market.
