London: International Airlines Group (IAG), the parent company of British Airways, has announced a sweeping fleet expansion, ordering a total of 71 new long-haul aircraft from aerospace giants Airbus and Boeing. The move, revealed just one day after the UK and U.S. unveiled a new trade agreement, signals IAG’s long-term commitment to modernizing its transatlantic operations.
The multi-billion-dollar deal includes 32 Boeing 787-10 Dreamliners for British Airways and 21 Airbus A330-900neo aircraft, along with options previously exercised for six Airbus A350-900s, six Airbus A350-1000s, and six Boeing 777-9s. In total, the order comprises 33 jets from Airbus and 38 from Boeing, further solidifying IAG’s relationship with both manufacturers.
The timing of the announcement aligns with a broader trade pact between the UK and U.S., under which the British government pledged to purchase $10 billion worth of Boeing aircraft. Industry sources also confirmed that IAG had been negotiating additional orders with Airbus, including models from the A330neo and A350 families.
Powering the fleet will be Rolls-Royce engines for the Airbus A330-900neos and General Electric engines for the Boeing 787-10s. While Rolls-Royce remains the exclusive engine supplier for the A330neo, GE has outpaced its British competitor in the 787 market in recent years.
IAG CEO Luis Gallego noted that the aircraft deal had been in the works for some time. “We have been working on this for a long time,” Gallego said, shortly after the group reported better-than-expected profits for the first quarter of 2025.
Industry analysts say the scale of the order reflects IAG’s forward-looking strategy amid persistent global supply chain disruptions. “Airlines need to think in multi-year timeframes: they will have planes that will be reaching the end of their lives and will need replacing. Boeing and Airbus are sold out for years,” said Alex Irving, analyst at Bernstein.
While aircraft list prices suggest a combined value exceeding $26 billion—$374 million for each A330-900neo and $397 million for each 787-10—airlines are typically offered steep discounts. IAG has not disclosed the negotiated pricing.
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In addition to the confirmed orders, IAG announced that British Airways holds options for up to 10 more Boeing 787s and purchase rights for an additional 13 Airbus A330-900neos, potentially increasing the total number of aircraft significantly if exercised.
The order contributes to Boeing’s existing backlog of 149 aircraft destined for UK customers and comes as the American planemaker tries to recover from a turbulent year. After widespread production issues and quality-control crises in 2024, Boeing is pushing to raise output of its popular 737 MAX model to 38 jets per month.
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IAG, a pivotal customer in the aviation sector, is often seen as a bellwether for global airline procurement trends. With transatlantic travel rebounding and airlines navigating complex supply chains, IAG’s order is expected to influence other carriers weighing their own fleet renewal strategies.
Earlier reports from Bloomberg News indicated IAG was preparing to place a large order for 30 Boeing 787s, with options for more—a forecast now confirmed by the latest announcement.
