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HomeBusinessRiyadh Air’s Strategic Launch Amid Boeing Delays

Riyadh Air’s Strategic Launch Amid Boeing Delays

Navigating challenges to boost Saudi tourism and economic diversification

January 17, 2025
in Business
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Saudi Arabia is turning to Riyadh Air to boost tourism and diversify its economy. However, the airline’s launch has been delayed due to Boeing’s delivery issues. Initially, Riyadh Air had planned its debut for early 2025, but this has now shifted to the third quarter.

The airline had ordered 39 Boeing 787-9 Dreamliners and expected eight deliveries this year. Now, only four are anticipated. Riyadh Air, aiming to compete with Emirates and Qatar Airways, is integral to Saudi Arabia’s strategy to attract more tourists.

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CEO Tony Douglas expressed optimism about receiving the aircraft this year but acknowledged risks remain. Boeing is working closely with Riyadh Air to adjust the delivery schedule. Meanwhile, the airline chose Airbus for its subsequent order, opting for 60 Airbus A321neo jets after speculation.

Boeing’s recent production challenges affected Riyadh Air’s plans. The manufacturer delivered only 348 aircraft last year, the lowest since the pandemic, due to regulatory caps and a strike. Additionally, the 787 Dreamliner production in South Carolina has slowed for safety checks.

Riyadh Air aims to operate flights to at least 100 destinations within five years, enhancing Saudi Arabia’s tourism appeal and reducing its economic reliance on oil. The airline has partnered with Atlético Madrid and plans to integrate AI for improved customer service, including expedited security for late passengers.

Despite setbacks, Riyadh Air has also secured single-aisle aircraft for short-haul routes, continuing its expansion plans.

Tags: Airline IndustryBoeing delayseconomic diversificationRiyadh AirSaudi Tourism
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