British Airways will get 32 new Boeing planes, in a deal worth nearly $13 billion, its parent company announced on Friday, a day after U.S. officials teased a big order was coming for America’s largest plane maker.
IAG, which owns British Airways and other European airlines, said it had ordered the Boeing aircraft as well as 21 planes from Airbus, a French aerospace company, to be delivered between 2028 and 2033. Most of the planes were replacements for aging aircraft, but about a third were to expand the group’s fleet as it took a bet on long-haul flights.
The announcement came after Howard Lutnick, the U.S. commerce secretary, said Thursday that Britain would buy $10 billion worth of Boeing planes as he announced details of what he called a “strong” trade deal between the two countries. The plane order, however, is a commercial agreement and not part of the governments’ trade deal.
Mr. Lutnick also said the United States would scrap tariffs on jet engines and other parts from Rolls-Royce, a British company, although the arrangement was not included in the documents published on Thursday by the U.S. and British governments.
On Thursday, the two nations agreed on a framework to lower U.S. tariffs on cars and steel for British imports, while Britain increased market access for American beef and ethanol. President Trump and Keir Starmer, the British prime minister, warmly congratulated each other on agreeing to the first trade deal since the U.S. administration substantially raised tariffs on its trading partners. But this agreement is not final: More negotiations will take place, and it is unclear when the tariff reductions will take effect.
The Boeing order, announced alongside IAG’s quarterly earnings report, was for 787-10 aircraft with a list price of $397 million (in dollar pricing from January) each, making the order for 32 planes worth $12.7 billion. But the company said it had a secured a discount on that price. IAG has the option to buy 10 more planes.
IAG also said it bought 21 Airbus A330-900neo aircraft for its other airlines, which include Aer Lingus and Iberia, in a deal worth nearly $8 billion, and with the option to buy 13 more.
Luis Gallego, the chief executive of IAG, described it as a “milestone” order that was part of a long-term strategy to upgrade its fleet, including to more energy-efficient planes.
“Looking ahead to the next decade, these new aircraft will enable us to strengthen our core markets and further improve our customer experience, while continuing to drive long-term value for our shareholders,” he said.
British Airways flies both Boeing and Airbus planes. In March, IAG ordered six aircraft from each company for British Airways, which will be delivered later in the decade. Those planes are not part of the order announced on Friday.
IAG made the announcement as it reported 198 million euros in operating profit in the first quarter of 2025, up from €68 million a year ago. The company’s share price rose nearly 3 percent on the London Stock Exchange.
The company also said the closure of Heathrow Airport for a day in March, because of a power outage and a nearby fire, cost British Airways about €50 million.
