Saudi Arabia's new Riyadh Air set to begin flights amid aviation turmoil

Saudi Arabia’s Riyadh Air took delivery of its first two Boeing 787 Dreamliners on Friday, marking a major milestone for the kingdom’s new national airline as it prepares to launch commercial flights next month amid ongoing disruptions across the global aviation industry.

A series of delays pushed back Riyadh Air’s original launch timeline and as airlines across the Middle East continue to grapple with the fallout from the US-Israel-Iran war. 

While the conflict has upended travel patterns and forced established Gulf carriers to cancel flights and reroute services, Riyadh Air is pressing ahead with plans to begin operations on July 1, betting that long-term demand will outweigh short-term turbulence.

Details: Boeing's first two custom-built 787 Dreamliners for the airline will help form the backbone of a fleet that is expected to eventually include up to 72 Dreamliners and serve more than 100 destinations by 2030.

The delivery is a significant step for a project that has been central to Saudi Arabia’s broader ambitions to transform itself into a global aviation and tourism hub. Riyadh Air, owned by the kingdom’s Public Investment Fund, was unveiled in 2023 with plans to challenge regional giants Emirates and Qatar Airways, backed by a multibillion-dollar Boeing order that was among the largest in the manufacturer’s history.

The carrier had initially hoped to begin operations much earlier and was originally expected to start receiving 787s in 2025. Instead, aircraft delivery delays pushed the airline’s timeline back, leaving Riyadh Air preparing to enter the market amid one of the most challenging operating environments Gulf aviation has faced in years.

On Thursday, the airline signed a partnership agreement with Air India to offer connections between India, Saudi Arabia and destinations beyond through future codeshare and other interline arrangements.

Riyadh Air has already opened bookings for its inaugural route to London Heathrow, scheduled for July 1. The Saudi carrier conducted its inaugural flight in October, flying employees on a leased Boeing 789-9 to London.

Why it matters: Riyadh Air’s launch is shaping up to be a test of whether Saudi Arabia can execute its aviation ambitions during a period of heightened geopolitical uncertainty.

The airline was conceived during a post-pandemic aviation boom, when Gulf carriers were expanding and Saudi Arabia was pouring billions into projects designed to attract tourists, businesses and investment. 

Today, the landscape looks markedly different as the US-Israel-Iran war has disrupted some of the world's busiest air corridors. Yet Riyadh Air’s leadership argues that the turmoil could also create opportunities. 

In an interview with the Telegraph last month, CEO Tony Douglas said Riyadh had emerged as a relatively stable transit point during the conflict and suggested the airline could benefit as travelers and airlines reassess traditional Gulf hubs.

For Saudi Arabia, Riyadh Air is about more than adding another airline. The carrier is a flagship component of the kingdom’s Vision 2030 strategy, which aims to attract 150 million visitors annually and establish Saudi Arabia as a leading global aviation hub ahead of major events including the 2034 FIFA World Cup.