Saudi Arabia’s national airline is holding early discussions with Boeing (BA) and Airbus (EADSF) (EADSY) about a potential aircraft order that could be the largest in its history, as the kingdom ramps up investment to expand travel and tourism.
Saudia is evaluating a purchase of at least 150 aircraft, spanning both narrowbody and widebody models, Bloomberg News reported Thursday, citing people familiar with the talks. The airline has not yet settled on specific aircraft types or final quantities, and the discussions remain at a preliminary stage.
Any deal would allow the carrier to replace older jets while also expanding its fleet, which currently numbers about 200 aircraft. There is no certainty the negotiations will lead to an agreement.
The airline has made sizable purchases in recent years, ordering more than 100 Airbus (EADSF) (EADSY) narrowbody jets in 2024 and committing to dozens of Boeing (BA) 787 Dreamliners the year before, with additional options.
Under Saudi Arabia’s aviation strategy, state-owned Saudia is expected to concentrate more heavily on religious travel, while new entrant Riyadh Air is positioned as a premium carrier aimed at international tourists.
Saudia has also refreshed its leadership, pursued high-profile partnerships and invested in onboard upgrades, including plans to introduce Starlink internet service on select aircraft.