Air India has named Tewolde Gebremariam as its new chief executive officer amid ongoing financial and operational challenges, as Gebremariam succeeds Campbell Wilson, who stepped down from the role in April, according to the BBC.

Experience at Ethiopian Airlines

Gebremariam previously served as CEO of Ethiopian Airlines, where he worked for over a decade; During his tenure, he helped transform the regional carrier into one of Africa’s largest airlines. Ethiopian Airlines grew its fleet nearly threefold under his leadership and became the most profitable airline on the continent, as reported by the BBC.

Challenges at Air India

Air India, recently acquired by the Tata Group from the Indian government in 2022, is currently dealing with a period of operational turbulence. The airline operates a fleet of 198 aircraft and runs nearly 5,000 weekly flights to 91 destinations across India and abroad, according to the Air India website.

Gebremariam was chosen unanimously by the board after an extensive search, with Air India citing his leadership and operational expertise as key factors in the decision. N Chandrasekaran, the airline’s chairman, stated that Air India is now entering a critical phase of execution and expansion following the initial stabilization efforts under Campbell Wilson’s leadership.

Wilson, who previously worked at Singapore Airlines, had indicated in 2024 that he planned to step down in 2026 and had been preparing for a smooth leadership transition. Gebremariam, now taking over, expressed his goal of building a “world-class global airline” that reflects India’s economic potential.

Air India has reported a record loss of nearly $2.3bn (£1.7bn) last month, with Chandrasekaran warning that a turnaround could take up to a decade — the airline has also reduced nearly a third of its international operations due to financial strain. Plus, in March, a Delhi-Vancouver flight was forced to return to India after nearly eight hours due to a lack of clearance to enter Canadian airspace.

Broader Aviation Sector Pressures

The challenges faced by Air India are part of a wider trend affecting India’s aviation sector — Rising costs, disrupted international routes due to the Iran war, aircraft delivery delays, and increased regulatory scrutiny have added pressure to the industry.

Aviation experts believe Gebremariam may be the right leader for Air India, citing his experience in handling two major crises at Ethiopian Airlines: the 2019 Boeing 737 Max crash that killed 157 people and the global impact of the Covid pandemic. During the pandemic, Ethiopian Airlines maintained profitability by expanding its cargo business when passenger revenues declined.

Sanjay Lazar, CEO of Avialaz Consultants, noted that Gebremariam was well-regarded by his employees during these crises, particularly for supporting pilots and engineers at Ethiopian Airlines. At Air India, Gebremariam’s priorities will include rebuilding workplace culture, improving employee morale, accelerating fleet expansion and refurbishment, and changing the airline’s network to reduce losses, according to experts.

Air India has not yet announced a specific date for Gebremariam’s official takeover, stating that details will be shared at a later time; the airline is still awaiting the final report on the June crash involving an Ahmedabad-London flight, which is expected to be released in October.