AirAsia: Flights up to 50% cheaper between Asia, Europe and the USA

AirAsia will, in the near future, provide low-cost connections between Southeast Asia, Europe and the United States.

The world's leading low-cost airline has announced the purchase of narrowbody aircraft in a landmark deal for 70 A321XLRs.

On July 4, AirAsia signed a memorandum of understanding in Paris for the purchase of 70 Airbus A321XLR aircraft to support the expansion of its global low-cost airline network, positioning Kuala Lumpur and Bangkok as key aviation hubs.

Tony Fernandes, an advisor and director of AirAsia, said on Friday, July 4, during a Zoom interview in Bangkok in front of about twenty journalists:

“23 years ago, my dream was to allow everyone to come to ASEAN.”

Today, Fernandes said, his plan is to enable ASEAN residents to travel cheaply to Europe and the United States in the near future.

Asked how much the price of tickets between major Southeast Asian airports and Europe and the United States via AirAsia would be reduced in the coming years, and vice versa, Mr. Fernandes replied:

“They will be 30 to 40%, or even 50%, compared to traditional airlines.

The goal here is not to take market share from anyone, but to allow people to go to places they would never have dared to dream of going.

I think the opportunity is huge."

And the trick lies in the use of new, more fuel-efficient narrow-body aircraft that can fly up to 9 hours, connecting Bangkok and Kuala Lumpur airports in Southeast Asia to the Middle East, and then hopping west to Europe.

To the east, they will connect Southeast Asia to Taiwan or Japan, and then reach the United States via a network of connections.

"The world is now ours," he explained.

The new aircraft, scheduled for delivery from 2028 , will change low-cost air traffic from Thailand.

Phuket and Chiang Mai airports will see numerous direct flights between these Thai airports and cities in India and China.

Mr Fernandes told reporters that over the years he had become convinced that AirAsia's strength lay in its low-cost flight offering.

"I don't think we're a premium seller," he said, adding that he believes the airline's future global network will consist of "only economy flights, all over the world."

AirAsia Press Release

Malaysian Prime Minister Anwar Ibrahim (center) and French officials attend the signing of a memorandum of understanding between AirAsia and Airbus for the purchase of 70 A321XLR aircraft during a one-on-one meeting at the InterContinental Paris Le Grand Hotel on July 4, 2025.

AirAsia also issued a press release on Friday, hours after the interview.

“The A321XLR will enable AirAsia to more efficiently serve underserved long-haul routes, particularly to Central Asia, the Middle East and Europe.

AirAsia Group aims to carry 150 million passengers annually by 2030, reaching a cumulative total of 1.5 billion passengers since its inception.

The A321XLR offers up to 20% fuel burn reduction per seat.

This improves operational efficiency and advances the group's environmental performance targets," AirAsia said in its press release issued Friday evening in Bangkok.

Malaysian Prime Minister Anwar Ibrahim attended the signing of the MoU alongside several Malaysian government ministers.

This USD 12.25 billion contract for 50 A321XLRs with rights for an additional 20 A321XLRs is a major milestone for AirAsia.

Its goal is to "become the world's first low-cost airline to operate a network of short-body aircraft, thanks to its multi-hub strategy.

Delivery of the devices is planned between 2028 and 2032.

“We were the pioneers of low-cost travel in Asia. Today, we are moving up a gear.

AirAsia is embarking on a transformation that will see it become the world's leading low-cost airline.

This represents exponential growth, which will connect regions beyond ASEAN and further democratize air travel.

We have given ASEAN people the opportunity to explore Asia.

Today, we want the world to discover ASEAN and ASEAN to discover the world.

The A321XLR and A321LR are groundbreaking aircraft that will help make this vision a reality, and we are proud to be at the forefront of this initiative to make our world a smaller place.

We look forward to painting the sky red over an even larger area.”

The press release also quotes Christian Scherer, CEO of Airbus Commercial Aircraft, as saying:

“We are delighted to confirm this agreement as the AirAsia Group embarks on a new chapter in its development.

Having resumed its growth trajectory, which we welcome and support, the airline is now building a highly efficient fleet, which will enable it to expand its global network."

The statement added that the A321XLR opens up new opportunities for AirAsia, which will be able to launch non-stop flights connecting primary and secondary cities around the world.

“The new fleet plays a vital role in this transformation.

AirAsia's multi-aircraft strategy enables the airline to match capacity to demand, reduce fuel consumption and support a sustainable and profitable growth model in a highly competitive global environment.

The A321XLR also offers 20% lower fuel burn per seat than the Airbus A321neo, significantly improving emissions performance and operational efficiency.”

With this historic order, AirAsia aims not only to redefine low-cost travel, but also to make Southeast Asia a global aviation hub.

See also:

Delayed or canceled flights: Thailand strengthens travel rights

Good news: Direct Thailand-US flights to resume

Flights to Thailand: Why ticket prices are expected to remain high in 2025

Source: Khaosod English