Air New Zealand has partnered with a European business on the navigation deal.

Air New Zealand has announced it will spend more than $25 million on a partnership with an European aircraft manufacturer to equip its 68-seat turboprop fleet with advanced required navigation performance technology.

The national carrier is working with manufacturer ATR on the technology which enables trained pilots to fly at lower altitudes.

ATR is a French-Italian aircraft manufacturer headquartered at Toulouse Blagnac International Airport and formed in 1981 by Aérospatiale of France and Aeritalia of Italy.

David Morgan, Air New Zealand chief flight operations and safety officer, said the deal would benefit customers.

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"This technology will enable us to provide a more consistent service for customers who travel on our ATR aircraft where weather conditions can at times prove challenging for our turboprop operations, particularly over the winter months," he said.

The first aircraft are due to be ready by 2018.

Fabrice Vautier, ATR vice president of contracts, said the business had a long history of working with Air New Zealand.