Air India and CFM International have finalised the order for LEAP engines for the carrier's new fleet of 400 narrow body planes.
The engines will power 210 Airbus A320/A321 neos and 190 Boeing 737 MAX family aircraft.
"Both companies also signed a multi-year services agreement that will cover the airline's entire fleet of LEAP engines," CFM said in a release on Thursday.
The order was first announced in February.
Air India has been a CFM customer since 2002 when it began operating A320 ceo aircraft powered by CFM56-5B engines.
In 2017, the airline began operating A320 neos, becoming the first LEAP-1A powered operator in India.
The airline currently has 27 LEAP-1A-powered A320neo family aircraft in its fleet, the release said.
Air India CEO and MD Campbell Wilson said, "We are delighted to celebrate with CFM a major deal that will play a key role in our future development." CFM International President and CEO Gaël Méheust said the order strengthens its presence in India.
Earlier this year, Air India placed orders for 470 aircraft, including 70 wide body ones.
CFM International is an equal joint venture between GE Aerospace and Safran Aircraft Engines.