INDIA/UNITED STATES: On Wednesday, the United States-India Business Council (USIBC) applauded the agreement between Air India and Boeing.
The contract, according to Ambassador Atul Keshap, president of the USIBC, demonstrates the growing economic and business relations between the US and India.
The ambassador stated, “The news of Air India, a subsidiary of the Tata Group, acquiring Boeing aeroplanes and GE Aerospace engines is exhilarating to USBIC. We are delighted by this historic news because all three companies are proud members of the global board of directors of the USIBC.”
According to Keshap, “As the largest aircraft order in history, this is a significant milestone in India’s rapidly expanding commercial aviation sector and underscores the strong trade and investment ties between the United States and India.”
Keshap made this statement following the agreement between Air India and Boeing, under which the latter will sell the former more than 200 aircraft.
According to Keshap’s remark, the deal demonstrates how beneficial it is for both parties involved in US-India commercial relations. Keshap emphasised that the agreement will hasten both the growth of Indian enterprises that “Make in India” for the rest of the globe and the country’s domestic manufacturing capabilities.
“This contract is a wonderful display of the win-win aspect of the U.S.-India trade partnership, and we expect to see incredibly strong spillover effects across our two economies,” said Atul Keshap.
The deal would generate one million jobs across the country, directly supporting American efforts to foster inclusive growth and generate high-quality manufacturing jobs here, as said by president Joe Biden.
According to Keshap’s statement, USIBC sees the agreement as directly advancing the shared goals of the US and India as participants in the Indo-Pacific Economic Framework for Prosperity, where both countries are working to strengthen supply chains and increase manufacturing capacity among high-trust partners.
Keshap also stated, “For the United States, we hope this accord stands as an illustration of how global trade helps both multilateral goals and American jobs and inspires Washington to adopt an agenda where America once again leads on trade.”
“The pact supports India’s growth story, enhances American economic competitiveness, and elevates connectivity between the world’s oldest and greatest democracy to new heights,” he continued.
As per the statement from the Prime Minister’s office, in a “warm and fruitful” phone chat earlier on Tuesday, US President Joe Biden and Prime Minister Narendra Modi praised the historic agreement between Air India and Boeing as a “shining example of mutually beneficial cooperation.”
Biden and PM Modi praised the development of the India-US Comprehensive Global Strategic Partnership, which has resulted in swift progress in many sectors.
According to a PMO press release, they “welcomed the commencement of a historic cooperation between Air India and Boeing as a shining example of reciprocally beneficial collaboration that will help create new employment opportunities in both nations.”
On Tuesday, Air India disclosed that it had agreements in place with Boeing and Airbus for the purchase of widebody and single-aisle aircraft.
The purchase reportedly includes 210 Airbus A320/321 Neos, 190 Boeing 737 MAX single-aisle aircraft, 40 Airbus A350s, 20 Boeing 787s, and 10 Boeing 777-9s widebody aircraft.
Rolls-Royce engines will power the A350 aircraft, while GE Aerospace engines will power the B777/787s. All single-aisle aircraft will be powered by engines from CFM International.
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