Rodriguez estimates the route will fly at 80% to 90% capacity once demand stabilizes after launch.
By offering the flight, Aer Lingus will receive an incentive package with contributions from the Indianapolis Airport Authority, the Indiana Economic Development Corp. and the city of Indianapolis.
The IEDC will provide $17 million in annual support, while the airport, over a two-year period, will provide about $2 million a year in credits and advertising, Rodriguez said.
The city’s stake in the contract was not immediately available.
The incentives, Rodriguez said, are small in comparison to the airline’s operating costs (estimated between $60 million to $80 million a year) and provide the support needed for the connection to get off the ground financially.
Multiple large Indiana companies have offices and facilities in Ireland, especially in the pharmaceutical industry. The country is one of the world’s top producers of pharmaceuticals and is highly regarded among drugmakers for its favorable business environment due to its low corporate tax rate, skilled workforce and business-friendly policies.
The business community is in part responsible for this new connection, Rodriguez said. A group of local businesses and agencies were involved in hashing out direct-flight locations that best serve industry needs. Currently, an average of 545 passengers fly out of the airport daily to European destinations using connecting flights.
Ireland is Indiana’s top goods importer with $20.9 billion in 2023, according to Department of Commerce data.
Eli Lilly and Co. is the largest Hoosier companies doing business in Ireland, employing 3,000 people across three locations in the country. The company announced a $1.8 billion investment in two manufacturing sites, including its Limerick biopharmaceutical facility that is under construction.
Other notable Hoosier companies with a presence in the country include Cook Medical Group, Zimmer Inc., Hill-Rom Inc. and Symmetry Medical. Several Ireland-based companies also have Indiana offices, such as Allegion and a number of smaller tech companies.
“Indiana’s economy has been on an unprecedented trajectory of growth,” Indiana Secretary of Commerce David Rosenberg said in a statement. “Our partners in Ireland and Europe have been a significant part of the growth we’ve experienced. This new transatlantic route will only add to that growth and open up Indiana to vast new opportunities.”
Since losing its direct Paris connection during the pandemic, airport authority leaders have sought to establish a new direct line to Europe, including renewing the Paris route or debuting a flight to London or Japan.
This new flight offers the connection to Europe the region is looking for, Rodriguez said, and makes it easier for passengers to travel to other European hotspots. Connections from the Irish airline include a host of English cities such as Berlin and Barcelona among others.
And as the need grows, the airport authority will look at different locations.
“We’re going to continue looking at it,” Rodriguez said. “But when it comes to the economics, just on the exports and imports, I doubt you will get another bigger economic sort of push than Dublin. That’s the biggest one.”
Ireland and Indianapolis have also become some of the fastest-growing markets for sports technology. Since 2017, Dublin has hosted the One-Zero Summit with a focus on strengthening the network for sports tech, demonstrating new products and tackling big industry topics like advancements in ticketing, fitness, betting and fan engagement.
One-Zero has hosted a second event in Indianapolis since 2022, with the next iteration scheduled for Dec. 12-14. The partnership also involves SportsTech HQ, an IEDC initiative that is housed by the Indiana Sports Corp. with a focus on making Indianapolis one of the world’s biggest sports technology hubs.
In March, Ireland-based startup Wiistream announced plans to establish its U.S. headquarters in Indianapolis, with the goal of having up to 20 people based here within the next few years.
