Air Canada has revolutionized India’s long-haul travel experience by launching a luxurious Premium Economy Class on its state-of-the-art Boeing 787 flights. Designed to deliver unparalleled comfort, spacious seating, priority services, and upgraded in-flight amenities, this new cabin caters to discerning travelers seeking an elevated journey without the full business class price. Available on key routes from Delhi and Mumbai to Toronto and Montreal, Air Canada’s Premium Economy offering sets a bold new standard for seamless, stylish, and sophisticated air travel between India and North America.

Air Canada has launched its Premium Economy Class on select routes between India and Canada, providing a more comfortable and premium experience for travelers. The service, which was introduced in May 2025, is available on select flights departing from Delhi (DEL) and Mumbai (BOM) to Toronto (YYZ) and Montreal (YUL). This new cabin class is designed for passengers who seek additional comfort without upgrading to Business Class. The introduction of Premium Economy is a strategic move to enhance Air Canada’s position in the rapidly growing India-Canada travel market, which is valued at $1.5 billion annually, according to CAPA.

Premium Economy Service Overview

Air Canada’s Premium Economy Class is available on select Boeing 787 Dreamliner and Airbus A330 aircraft. This service caters to passengers traveling between India and Canada who want more than the standard economy experience but without the high cost of Business Class. The Premium Economy cabin offers wider seats with greater recline, more legroom, and a two-bag checked luggage allowance, which is double the standard allowance for Economy Class passengers.

The Premium Economy service goes beyond just seating. Passengers benefit from priority check-in, boarding, and baggage handling. This allows travelers to bypass the longer queues and enjoy a smoother journey through busy hubs in India. The service also includes upgraded meals with a selection of fresh salads, hot entrees, desserts, and pre-landing snacks that are specifically tailored to the duration of the flight.

Each Premium Economy seat is equipped with USB charging ports, in-seat power, and access to Air Canada’s extensive entertainment system, which includes Bollywood films and a variety of other international options. Cabin crew members who speak Hindi and other local languages are also available, ensuring that the service feels more personal and accommodating for Indian passengers, who make up a significant portion of the travelers on this route.

Market Positioning and Competitor Landscape

Air Canada’s decision to introduce Premium Economy on its India-Canada routes is part of a broader strategy to capitalize on the growing travel demand between these two nations. The market is currently valued at $1.5 billion annually, as noted by CAPA, making it a highly competitive segment for airlines. Air Canada operates 14 weekly flights from Delhi (DEL) and Mumbai (BOM) to Toronto (YYZ) and Montreal (YUL), and it competes directly with other carriers like Air India (AI) and United Airlines (UA), which also offer premium cabins on similar routes.

The introduction of Premium Economy targets key demographics such as business travelers, diaspora communities, and students. According to data from IATA, 60% of passengers traveling between India and Canada are Indian nationals. By launching Premium Economy during India’s peak travel season, Air Canada is positioning itself to increase its market share on these routes, which currently stands at 8%. This new service directly challenges Air India’s dominance on flights from New Delhi (DEL) and offers an attractive alternative to Business Class without the hefty price tag.

Operational Efficiency and Passenger Experience

In addition to providing a more comfortable and luxurious travel experience, Premium Economy passengers also benefit from enhanced operational efficiency. At Delhi (DEL) and Mumbai (BOM), Premium Economy passengers enjoy faster check-in through dedicated counters. This reduces wait times by up to 20 minutes compared to passengers flying in standard Economy Class, as stated by Air Canada. This quicker processing allows passengers to spend less time in airports and more time enjoying their journey.

Upon arrival in Toronto (YYZ), Premium Economy passengers are also prioritized when it comes to baggage handling. This ensures that luggage is retrieved faster, which is particularly important for the 40% of passengers who have connecting flights to other destinations, such as Vancouver (YVR) or New York (JFK). The expedited baggage service reduces the risk of delays, making it a valuable feature for passengers with tight connections.

Economic Impact and Strategic Benefits

The launch of Premium Economy is not just a service enhancement; it is also part of a larger investment strategy aimed at strengthening Air Canada’s competitive edge. According to OAG, 65% of long-haul carriers now offer a mid-tier cabin, which makes Premium Economy a necessary offering for airlines seeking to remain competitive. Air Canada’s $50 million investment in retrofitting its fleet for Premium Economy ensures that the airline can provide a premium product that competes with airlines like Emirates (EK), which operates long-haul routes via Dubai (DXB). Although this adds five additional hours to the India-Canada journey, Emirates remains a competitor that Air Canada must address.

Furthermore, Air Canada’s expansion into India is expected to have a broader economic impact. The airline’s new service is projected to create 200 jobs in India, ranging from ground staff to flight crew, as reported by CAPA. The introduction of Premium Economy also has the potential to increase demand for connecting U.S. routes via Toronto (YYZ), expanding Air Canada’s market reach beyond just the India-Canada corridor.

By enhancing its service offerings and streamlining its operations, Air Canada is positioning itself for substantial growth in the India-Canada travel market. The airline aims to capture a 10% increase in market share by 2027, further solidifying its presence in the highly competitive transatlantic market.

Air Canada has launched a premium economy class on its Boeing 787 flights from India, offering spacious seats, priority services, and enhanced comfort for a superior travel experience. This new cabin transforms long-haul journeys between India and North America with luxury and convenience.

Conclusion

The launch of Air Canada’s Premium Economy Class on its India-Canada routes represents a strategic move to cater to a growing market and enhance the airline’s competitiveness. With wider seats, upgraded amenities, faster processing, and a more personalized experience, the new service aims to meet the needs of business travelers, students, and the Indian diaspora. This investment not only positions Air Canada to capture a larger share of the India-Canada travel market but also supports the airline’s broader expansion goals, creating jobs and boosting demand for connecting flights through Toronto. With its comprehensive approach to customer service and operational efficiency, Air Canada is set to remain a major player in the transatlantic airline market for years to come.

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