Aircraft Orders & Deliveries
Gulf Air Expands Fleet with Up to 15 Boeing 787 Dreamliners
Gulf Air finalizes agreement to acquire up to 15 Boeing 787 Dreamliners, modernizing its fleet and expanding international routes.
In a significant move for Middle Eastern aviation, Gulf Air, the national carrier for the Kingdom of Bahrain, has finalized a substantial agreement with The Boeing Company. The deal, announced at the bustling Dubai Airshow on November 18, 2025, involves the acquisition of up to 15 new Boeing 787 Dreamliner aircraft. This strategic purchase is not just about adding new planes; it represents a calculated step in Gulf Air’s ambitious plan to modernize its fleet and aggressively expand its international route network, signaling a new era of growth for the airline.
The agreement underscores a clear vision for the future. By committing to one of the most technologically advanced and fuel-efficient aircraft on the market, Gulf Air is positioning itself to enhance operational efficiency, improve passenger experience, and compete more effectively on the global stage. This move builds upon the airline’s existing relationship with Boeing and its positive experience with the 10 Dreamliners already in its fleet. The expansion is set to support the carrier’s foray into new long-haul markets, particularly in North America, Europe, and Asia-Pacific, marking a pivotal moment in its strategic development.
The announcement at the Dubai Airshow serves as the culmination of discussions that gained momentum earlier in the year. In July 2025, a preliminary agreement was reached in Washington, D.C., outlining a commitment for 12 firm orders of the 787 Dreamliner with options for an additional six. The presence of high-level officials at that meeting, including Bahrain’s Finance Minister Shaikh Salman bin Khalifa Al Khalifa and U.S. Commerce Secretary Howard Lutnick, highlighted the economic and diplomatic weight of the partnership. The November finalization appears to firm up the initial 12 orders while exercising options for three more aircraft, bringing the total to 15.
This acquisition is a cornerstone of Gulf Air’s broader fleet modernization strategy. The Boeing 787 Dreamliner is renowned for its long-range capabilities, superior fuel efficiency, and passenger-centric design, which includes larger windows, better cabin air pressure, and higher humidity levels for a more comfortable journey. By standardizing and upgrading its long-haul fleet with these modern jets, Gulf Air aims to reduce its operational costs and environmental footprint while simultaneously elevating the quality of its service. This aligns with a growing industry trend toward sustainability and enhanced passenger comfort.
The integration of these new aircraft will be phased, allowing the airline to strategically deploy them as it launches new routes and increases frequencies on existing ones. The expansion is a direct response to the competitive pressures within the Gulf region’s aviation market, enabling Gulf Air to offer more direct connections and solidify Bahrain’s position as a key aviation hub. The new Dreamliners will be instrumental in realizing this long-term vision.
“This agreement marks a transformative step in Gulf Air’s strategic growth journey as we expand our global footprint and modernize our fleet with one of the industry’s most advanced and efficient aircraft.” – Khalid Taqi, Chairman of Gulf Air Group (July 2025)
The primary driver behind this significant investment is Gulf Air’s strategic imperative to broaden its global reach. The airline has explicitly stated that the new 787s will be used to launch and sustain long-haul routes. A key example of this strategy in action is the recent resumption of flights to New York’s John F. Kennedy (JFK) Airport in October 2025, a service that had been dormant for 28 years. This route marks a confident return to the North American market, and the additional aircraft will provide the capacity needed to ensure its success and explore other potential destinations.
Beyond North America, the expanded fleet will empower Gulf Air to explore new gateways in Europe and Asia. This allows the airline to tap into new passenger and cargo markets, diversifying its revenue streams and reducing its reliance on traditional routes. By connecting Bahrain to more global economic centers, Gulf Air is not only boosting its own commercial prospects but also contributing to the Kingdom of Bahrain’s economic development by fostering tourism, trade, and business travel.
The ripple effects of this deal extend beyond the airline itself. A strengthened national carrier with a modern, efficient fleet enhances the country’s international prestige and connectivity. For Boeing, the agreement represents another vote of confidence in its flagship 787 program from a key Middle Eastern partner. It reinforces the Dreamliner’s position as the aircraft of choice for airlines looking to balance long-range operational needs with economic and environmental performance. The finalization of the agreement for up to 15 new Boeing 787 Dreamliners is more than a simple fleet transaction; it is a clear statement of intent from Gulf Air. The airline is embarking on a deliberate and strategic path of modernization and expansion, equipping itself with the right tools to navigate the competitive landscape of international aviation. This move will enhance its operational capabilities, improve its service offering, and extend its network to previously untapped markets.
Looking ahead, the successful integration of these new aircraft will be crucial. As Gulf Air takes delivery of the Dreamliners, the industry will be watching to see how effectively it leverages them to build on its recent network expansions, like the New York route. This investment lays the groundwork for a more resilient, competitive, and globally recognized Gulf Air, ready to write the next chapter in its long and storied history.
Question: How many Boeing 787 Dreamliners did Gulf Air order? Question: Where was the deal announced? Question: What is the purpose of this aircraft purchase?
Gulf Air Solidifies Fleet Expansion with Boeing 787 Dreamliner Deal
Finalizing the Fleet of the Future
Strategic Expansion and Global Reach
Conclusion: A New Chapter for Gulf Air
FAQ
Answer: Gulf Air finalized an agreement for between 12 and 15 Boeing 787 Dreamliner aircraft. This appears to be a finalization of a previous commitment for 12 firm orders and 6 options.
Answer: The agreement was publicly announced at the Dubai Airshow on Tuesday, November 18, 2025.
Answer: The acquisition is a key part of Gulf Air’s strategy to modernize its fleet and expand its long-haul route network, with a focus on new destinations in North America, Europe, and Asia.
Sources
Photo Credit: Boeing
Aircraft Orders & Deliveries
Aviation Capital Group Delivers Two Boeing 737 MAX 8s to WestJet
Aviation Capital Group delivered two Boeing 737 MAX 8 aircraft to WestJet in a sale-and-leaseback deal, supporting fleet modernization and expansion.
This article is based on an official press release from Aviation Capital Group.
Aviation Capital Group LLC (ACG), a global aircraft asset manager, announced on February 26, 2026, that it has successfully delivered two Boeing 737 MAX 8 aircraft to WestJet. The delivery, which took place in Seattle, marks the completion of a sale-and-leaseback transaction between the lessor and the Canadian airline.
According to the company’s statement, these aircraft are equipped with CFM LEAP-1B engines and are intended to support WestJet’s ongoing fleet modernization and network expansion. The handover comes as WestJet celebrates its 30th anniversary, a milestone noted by ACG executives during the announcement.
The deal was structured as a sale-and-leaseback agreement, a common financial mechanism in aviation where an airline sells its aircraft to a lessor and immediately leases them back. This approach allows carriers to maintain operation of the assets while freeing up capital. In its press release, ACG confirmed that both aircraft were delivered earlier this week.
Carter A. White, Chief Commercial Officer at ACG, emphasized the continuity of the partnership between the two companies. In the press release, White stated:
“We are delighted to complete the delivery of two Boeing 737 MAX 8 aircraft and to strengthen our long-standing relationship with WestJet. These modern, fuel-efficient aircraft will support WestJet’s fleet expansion and continued growth.”
White also extended congratulations to the airline on its three decades of operation, wishing the team continued success.
While the ACG release focused on the specific delivery, the arrival of these 737 MAX 8s aligns with WestJet’s broader strategy to utilize fuel-efficient narrowbody aircraft for both domestic and international routes. The Boeing 737 MAX 8 is designed to offer improved fuel efficiency and reduced noise compared to previous generation aircraft, factors that ACG highlighted as key benefits for the airline’s growth.
As of December 31, 2025, Aviation Capital Group reported a portfolio of approximately 450 owned, managed, and committed aircraft, leased to roughly 85 airlines globally. This transaction reinforces ACG’s position as a significant partner for major North American carriers. The completion of this sale-and-leaseback transaction highlights a continued reliance on the Boeing 737 MAX 8 for WestJet’s operational strategy in 2026. For WestJet, securing these aircraft via lease rather than direct ownership likely provides immediate liquidity, a strategic advantage as the airline expands its transatlantic footprint this summer. The timing of the delivery in Seattle suggests these airframes will enter service promptly, bolstering capacity during a critical anniversary year for the carrier.
What is a sale-and-leaseback transaction? What engines power these Boeing 737 MAX 8 aircraft? How large is Aviation Capital Group’s portfolio?
Aviation Capital Group Delivers Two Boeing 737 MAX 8s to WestJet
Transaction Details and Executive Commentary
WestJet Fleet Context
AirPro News analysis
Frequently Asked Questions
A sale-and-leaseback is a financial transaction where an airline sells an aircraft to a leasing company (like ACG) and immediately leases it back. This allows the airline to unlock the capital tied up in the aircraft while retaining the ability to fly it.
According to the ACG press release, the two delivered aircraft are powered by CFM LEAP-1B engines.
As of the end of 2025, ACG managed, owned, or had committed to approximately 450 aircraft leased to airlines in about 50 countries.
Sources
Photo Credit: Aviation Capital Group
Aircraft Orders & Deliveries
US Removes Tariffs on Brazilian Aircraft Restoring Duty-Free Trade
The US eliminates 10% tariffs on Brazilian aircraft, benefiting Embraer and US regional airlines with a temporary exemption under Section 122 of the Trade Act.
This article summarizes reporting by Reuters and includes data from public trade records.
The Brazilian government has officially welcomed a decision by the United States to eliminate import tariffs on Brazilian aircraft, effectively restoring a “zero-tariff” trade relationship for the aerospace sector. According to reporting by Reuters, the move reduces the duty on Brazilian jets entering the U.S. from 10% to zero, a significant shift following months of volatile trade policy.
The decision comes in the wake of a pivotal U.S. Supreme Court ruling on February 20, 2026, which struck down previous broad tariff structures. In response, the U.S. administration pivoted to a new strategy under Section 122 of the Trade Act of 1974. While this new measure imposes temporary global tariffs on many goods, civil aircraft, engines, and parts were specifically listed as exempt, providing immediate relief to Brazilian planemaker Embraer and its U.S. customers.
This policy shift marks a return to the status quo that existed for over 45 years prior to April 2025, during which the U.S. and Brazil traded civil aviation products duty-free. The reinstatement of this status is expected to have widespread implications for the regional airline market in the United States.
The removal of the 10% levy is a major victory for Embraer, Brazil’s leading exporter of high-value manufactured goods. For the past year, the tariff placed Embraer at a price disadvantage compared to its primary competitors, such as Canada’s Bombardier and France’s Dassault, whose business jets continued to enter the U.S. market duty-free.
According to trade data, aircraft represent Brazil’s third-largest export to the United States, valued at approximately $1.41 billion in the first half of 2025 alone. Brazilian Vice President and Minister of Development Geraldo Alckmin praised the decision, noting that it restores “competitive parity” for Brazilian industry.
The exemption is also a critical development for U.S. regional airlines. Carriers such as SkyWest, Republic Airways, and American Airlines rely heavily on Embraer’s E175 jets to operate their regional networks. Industry analysts have noted that these airlines faced the prospect of deferring deliveries or absorbing higher costs under the previous tariff regime.
By exempting civil aircraft from the new Section 122 measures, the U.S. administration has ensured a steady supply of regional jets required to replace aging fleets without imposing inflationary costs on domestic carriers. The legal landscape surrounding this decision remains complex. The exemption was triggered after the Supreme Court ruled in Trump v. CASA, Inc. that the executive branch lacked the authority to impose the previous tariff structures under the International Emergency Economic Powers Act (IEEPA). Consequently, the administration invoked Section 122 to maintain trade pressure while carving out exemptions for critical sectors like aerospace.
However, legal experts warn that this relief may be temporary. The tariffs implemented under Section 122 are legally limited to a duration of 150 days, set to expire in July 2026. Furthermore, the administration has indicated that an investigation into Brazil’s trade practices under Section 301 is ongoing, which could lead to targeted tariffs in the future.
“Now it seems we have a window at least where we can import these aircraft free from tariffs. The question is how long that window will last.”
Tobias Kleitman, President of TVPX, via industry reports
We view this exemption as a pragmatic concession by Washington rather than a purely diplomatic gesture toward Brazil. The U.S. regional aviation market is structurally dependent on the Embraer E175; there is currently no U.S.-manufactured alternative that meets the scope clause requirements of major pilot contracts. Penalizing Embraer imports would have disproportionately harmed U.S. airlines and the traveling public in smaller markets.
While the immediate threat has passed, the 150-day clock on Section 122 measures creates a “sunset horizon.” We advise stakeholders to accelerate deliveries where possible before July 2026, as the long-term trade framework between the U.S. and Brazil remains unsettled.
What was the previous tariff rate? Why was the tariff removed? Does this affect private jets?
Brazil Welcomes Removal of U.S. Aircraft Tariffs, Restoring Duty-Free Status for Embraer
Impact on Embraer and Global Competition
Relief for U.S. Regional Carriers
Legal Context and Future Uncertainty
AirPro News Analysis
Frequently Asked Questions
Between April 2025 and February 2026, Brazilian aircraft imports were subject to a 10% tariff.
A Supreme Court ruling invalidated the previous tariff authority. The administration subsequently issued new temporary measures that specifically exempted civil aircraft.
Yes. The exemption covers civil aircraft, which includes executive jets like Embraer’s Praetor and Phenom series.Sources
Photo Credit: Embraer
Aircraft Orders & Deliveries
DAE Capital Nears Acquisition of Macquarie AirFinance Aircraft Lessor
DAE Capital is finalizing a deal to acquire Macquarie AirFinance, expanding its fleet and securing key aircraft delivery slots amid industry consolidation.
This article summarizes reporting by Reuters.
Dubai Aerospace Enterprise (DAE) Capital is reportedly in the final stages of negotiations to acquire a controlling stake in Dublin-based lessor Macquarie AirFinance. According to exclusive reporting by Reuters on February 22, 2026, the Dubai-based giant has emerged as the leading contender in a competitive bidding process, potentially solidifying its status as one of the world’s premier aviation lessors.
The potential transaction highlights the intense consolidation currently reshaping the global aircraft leasing sector. As supply chain constraints continue to plague major manufacturers, established lessors are increasingly turning to Mergers and Acquisitions to secure fleet growth and valuable delivery slots.
Sources close to the matter told Reuters that DAE Capital is “closing in” on an agreement to purchase the controlling interest in Macquarie AirFinance. The deal follows a strategic review by Macquarie Group, which reportedly engaged JP Morgan to explore options for the business, including a potential sale.
The bidding process reportedly attracted significant interest from other major players in the Middle East, underscoring the region’s growing dominance in aviation finance. Reuters notes that DAE competed against:
While the final terms have not been publicly disclosed, the acquisition targets the ownership stakes currently held by Macquarie Asset Management (50%), the PGGM Infrastructure Fund (25%), and the Australian Retirement Trust (25%).
According to the Reuters report, DAE Capital is “closing in” on a deal to acquire a controlling stake in the Dublin-based lessor.
If completed, this acquisition would represent a significant expansion for DAE Capital, which has pursued an aggressive growth strategy in recent years. By integrating Macquarie AirFinance’s portfolio, DAE would cement its position within the top tier of global aircraft lessors.
Industry data indicates that a primary driver for this transaction is Macquarie’s robust order book. With original equipment Manufacturers (OEMs) like Boeing and Airbus facing multi-year backlogs, acquiring a lessor with confirmed delivery slots is one of the few viable paths for near-term growth.
Macquarie AirFinance holds a portfolio of approximately 225 to 233 owned and managed aircraft. Crucially, this includes confirmed orders for 70 Boeing 737 MAX aircraft, alongside additional Airbus A220 and A320neo jets. For DAE, gaining access to these delivery slots would provide a critical pipeline of new technology aircraft at a time when production delays are keeping lease rates at historic highs. DAE Capital enters this potential deal from a position of financial strength. According to company filings for the fiscal year 2025, DAE reported a net profit of approximately $702.2 million, a year-over-year increase of roughly 47%. As of year-end 2025, DAE’s total assets stood at approximately $16.5 billion, with a fleet of roughly 604 owned and managed aircraft.
The addition of Macquarie’s fleet, valued at roughly $6.4 billion, would complement DAE’s existing holdings. Macquarie’s portfolio is split fairly evenly between Airbus and Boeing narrowbodies, assets that are currently in high demand due to the global shortage of single-aisle lift.
We view this potential acquisition as a clear indicator that the aviation finance market has shifted firmly into a consolidation phase. The chronic inability of manufacturers to meet delivery targets has created a “seller’s market” for existing aircraft portfolios. Lessors with available metal or confirmed delivery slots are commanding premium valuations.
For DAE, this move appears to be a continuation of a long-term strategy to achieve scale through acquisition rather than solely through organic orders. Having previously acquired AWAS in 2017 and Nordic Aviation Capital (NAC) for $2 billion, DAE has demonstrated a capability to integrate large, complex portfolios. This deal would further dilute the influence of Western-centric lessors, shifting the center of gravity in aviation finance toward the Middle East, where sovereign wealth capital is actively seeking dollar-denominated, real assets.
Who currently owns Macquarie AirFinance? How large is the combined fleet? Why is the order book important? Sources: Reuters, DAE Capital Filings, Macquarie Asset Management
DAE Capital Reportedly Poised to Acquire Macquarie AirFinance
Deal Dynamics and Competitive Landscape
Strategic Rationale: The Race for Scale
The Value of the Order Book
Financial Strength and Fleet Composition
AirPro News Analysis
Consolidation in a “Seller’s Market”
Frequently Asked Questions
As of the latest reports, the company is owned by a consortium comprising Macquarie Asset Management (50%), PGGM Infrastructure Fund (25%), and the Australian Retirement Trust (25%).
DAE Capital currently manages approximately 604 aircraft. Macquarie AirFinance manages roughly 225 aircraft. A combined entity would oversee a fleet approaching 830 aircraft, placing it firmly among the largest lessors globally.
Airlines are desperate for new, fuel-efficient aircraft, but Boeing and Airbus are sold out for several years. Buying a lessor with an existing order book (like Macquarie’s 70 Boeing 737 MAX orders) allows the buyer to skip the line and secure immediate future growth.
Photo Credit: DAE Capital
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