British Airways parent company International Consolidated Airlines Group (IAG) has committed to a massive $23 billion aircraft order, brushing off concerns about softening transatlantic travel demand amid President Trump’s escalating global trade wars.
In a confident update to investors, the £14 billion FTSE 100 airline group said it remained on track to hit its €4.6 billion profit forecast for 2025, adding that passenger demand remained “robust” despite broader economic uncertainty.
IAG’s announcement comes just weeks after rivals including Lufthansa, Air France-KLM, and US airlines issued warnings about weakened bookings across the North Atlantic, citing volatility caused by new tariffs and macroeconomic headwinds.
“Whilst being mindful of geopolitical and macroeconomic uncertainty, our outlook for the full year is unchanged,” the group said in a trading statement. “We are continuing to see good demand for air travel across our core markets.”
IAG confirmed it will acquire 32 Boeing 787-10 Dreamliners, priced at more than £10 billion at list value, alongside 21 Airbus A330-900neo aircraft, valued at $6 billion. The group also secured purchase options for 10 more 787s and 13 additional A330s, bringing the total commitment to more than $23 billion at catalogue prices.
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