Air India seeks China’s help amid financial woes due to Pakistan airspace ban

Air India is urging the Indian government to persuade China to open a restricted military air corridor in Xinjiang, hoping to shorten long-distance flights as the financial pressure from Pakistan’s airspace ban continues to grow.

According to Reuters, the request comes shortly after India and China resumed direct flights, ending a five-year suspension that followed a deadly border clash in the Himalayas.

Air India has been working to restore its global image and rebuild its international network after a Boeing 787 Dreamliner headed for London crashed in Gujarat in June, killing 260 people. The accident forced the airline to temporarily reduce services while safety checks were conducted.

That recovery effort is now being hindered by Pakistan’s decision to block Indian carriers from its airspace after diplomatic tensions flared in late April.

The airline—India’s only major player with a broad international network—has seen fuel expenses spike by up to 29%, while some long-haul flights have become as much as three hours longer, the document submitted to Indian authorities in late October shows.

Also Read: Pakistan extends airspace ban for India until November 23

New Delhi is currently examining Air India’s request to reach out to Beijing for permission to use an alternate route and gain emergency access to the airports at Hotan, Kashgar and Urumqi in Xinjiang.

This would help the airline reduce travel times to destinations in the United States, Canada and Europe.

“Air India’s long-haul operations are under significant operational and financial pressure ... Access to the Hotan route would provide a strategic advantage,” the document said.

Air India, jointly owned by Tata Group and Singapore Airlines, estimates that the Pakistan airspace restriction is costing it about $455 million a year in profit before tax. The figure is notable given that the airline reported a loss of $439 million for the 2024–25 financial year.