In a resounding signal of confidence, Malaysia’s two major airlines, Malaysia Airlines and AirAsia, have collectively agreed to acquire 70 Airbus aircraft with an option for 20 more, underscoring, what the carriers describe as “a bold phase of fleet renewal and international expansion”.

These deals, announced in Paris and witnessed by Malaysian Prime Minister Anwar Ibrahim, further cement Southeast Asia’s role as a growing commercial aviation powerhouse.

Malaysia Aviation Group ( MAG ), parent of Malaysia Airlines, finalized a firm order for 20 additional Airbus A330-900neo aircraft, doubling its future A330neo fleet to 40. This move is central to the airline’s long-haul strategy and part of a broader widebody fleet renewal plan initiated in 2022.

Currently, four A330neos have been delivered and are operational on high-demand routes, including Kuala Lumpur to Melbourne, Auckland and Bali. These jets, known for fuel efficiency and passenger comfort, align with Malaysia Airlines’ push, it says, towards a premium service identity while ensuring operational versatility on both regional and long-haul flights.

“With its enhanced fuel efficiency and flexibility across both regional and long-haul routes,” says Izham Ismail, MAG’s group managing director, “the aircraft is a strong fit for our evolving market needs.”

Low-cost carrier AirAsia, meanwhile, has signed a memorandum of understanding for 70 Airbus A321XLRs – 50 firm orders, with options for 20 more – in a deal valued at US$12.25 billion. Deliveries will commence in 2028 and continue through 2032, giving the airline a platform to penetrate longer-haul routes while maintaining cost efficiency.

The A321XLR will offer Air Asia a range that unlocks underserved destinations across Central Asia, the Middle East and even parts of Europe. AirAsia’s plan, supported by these aircraft, is to transition from a point-to-point low-cost carrier into a globally connected network airline.

“We pioneered low-cost travel in Asia, now, we are taking it to the next level,” adds Tony Fernandes, CEO of Capital A and steward of the AirAsia Group. “This is about exponential growth, connecting geographies beyond Asean [Association of Southeast Asian Nations] and making flying even more democratic.”