Boeing deal targets stronger global air connectivity: Biman

Biman Bangladesh Airlines today (24 September) said its agreement to acquire 11 additional Boeing aircraft forms part of a comprehensive long-term strategy to strengthen Bangladesh's international air connectivity while modernising the national flag carrier's fleet.

Biman and US aircraft manufacturer Boeing signed the supplementary agreement on the sidelines of the 81st session of the United Nations General Assembly (UNGA) in New York.

Biman Board Chairman Rumi A Hossain and Boeing Senior Vice President of Commercial Sales and Marketing Brad McMullen signed the agreement on behalf of their respective organisations, according to Biman.

"Today's supplementary agreement marks an important step in Biman's ongoing fleet modernisation and network expansion programme," Hossain said.

According to Boeing, the supplementary agreement covers five Boeing 787-10 Dreamliners and six 737-8 aircraft, adding both long-haul wide-body and narrow-body capacity to Biman's future fleet.

The latest purchase follows Biman's order for 14 Boeing aircraft earlier this year, taking the flag carrier's Boeing order book for the year to 25 aircraft.

The earlier agreement, signed on 30 April and valued at approximately $3.7 billion, covers eight 787-10s, two 787-9s and four 737-8s.

Together with the latest agreement, Biman's Boeing acquisition programme now comprises 13 Boeing 787-10 Dreamliners, two 787-9 Dreamliners and 10 Boeing 737-8 aircraft.

"This order has been placed in line with the specific requirements of our fleet plan. Our longstanding, effective and mutually cooperative relationship with Boeing has given us confidence in aircraft delivery and subsequent support arrangements," Hosain said.

He said Biman, as the national flag carrier, remained committed to expanding its network and capacity to meet the growing connectivity needs of people living in Bangladesh, expatriate Bangladeshis, business travellers and tourists.

"This agreement is part of a comprehensive and well-planned long-term strategy to further strengthen the country's international air connectivity in the years ahead," he said.

Deliveries under the earlier 14-aircraft agreement are scheduled between November 2031 and October 2035. However, the price, financing arrangements and delivery schedule for the additional 11 aircraft have not been disclosed.

Boeing said the 787-10 would add capacity while complementing Biman's existing 787-8 and 787-9 aircraft, while the 737-8 would offer greater range for the airline's single-aisle network.

The addition of the two aircraft types would also enable Biman to maintain operational commonality across its existing Boeing fleet.

Biman currently operates Boeing 787, 777 and 737 Next-Generation aircraft on its international network, connecting Bangladesh with destinations and major hubs in the Middle East, South and Southeast Asia and Europe.

Boeing said the 787 Dreamliner and 737 MAX families offer 20% to 25% better fuel efficiency than the aircraft they replace, supporting Biman's plans for fleet modernisation and international expansion.

McMullen said Biman's follow-on order reflected the airline's strategic approach to fleet renewal and capacity expansion, as well as the longstanding partnership between the two companies.

"These additional 787 Dreamliner and 737 MAX airplanes will deliver the efficiency, versatility and reliability Biman needs to support Bangladesh's growing role in global aviation," he said.

Civil Aviation and Tourism Minister M Rashiduzzaman Millat, State Minister for Foreign Affairs Humaiun Kobir, Invest Bangladesh Authority Chairman Chowdhury Ashik Mahmud Bin Harun and Prime Minister's Adviser Mahdi Amin attended the signing ceremony.

US Commerce Secretary Howard Lutnick and US Deputy Secretary of State Christopher Landau were also present.

Among others, US Under Secretary of Commerce for International Trade William Kimmitt, Boeing Global Senior Vice President Brendan Nelson, Boeing Commercial Airplanes President and CEO Stephanie Pope, US Assistant Secretary of State for South and Central Asian Affairs S. Paul Kapur and Boeing Vice President for Commercial Sales and Marketing for Eurasia, India and South Asia Paul Righi attended the event.

Speaking after the signing, Prime Minister's Adviser Mahdi Amin said Bangladesh needed additional aircraft as its aviation sector expands and plans are made to open new international routes.

"Bangladesh will purchase aircraft based on its needs. Bangladesh's aviation sector is expanding and there are plans to open new routes. Therefore, new aircraft are required," he said.

A Boeing delegation later paid a courtesy call on Prime Minister Tarique Rahman, according to the adviser.

Biman is also considering a separate proposal for 10 Airbus aircraft — four A350-900 wide-body jets and six A321neo narrow-body aircraft.

If the Airbus acquisition proceeds, Biman's Boeing and Airbus acquisition programmes together would create a pipeline of 35 new aircraft as the national carrier pursues one of the largest fleet expansion programmes in its history.