ASIA-PACIFIC AIR TRAVEL REBOUNDS BEYOND PRE-PANDEMIC LEVELS - AAPA

From Karina Imran

PERTH, March 25 (Bernama) -- Asia-Pacific air travel has rebounded beyond pre-pandemic levels, driven by strong demand, global economic growth, and rising passenger volumes, said the Association of Asia Pacific Airlines (AAPA). 

Its director general Subhas Menon pointed out that the region had already exceeded pre-pandemic levels as early as November 2024.

“If you look at the visitor arrivals and passenger numbers, Asia-Pacific region is growing considerably more strongly than other regions. 

“So there is no question that the region has surpassed pre-pandemic levels. It has, because the region's economies are also growing faster than those in the rest of the world,” he said at the Routes Asia 2025 in Perth, Australia. 

Routes Asia is a premier aviation event that brings together over 110 airlines and 160 airports from the Asia Pacific route development community.

Held from March 25 to 27 at the Perth Convention and Exhibition Centre, the event has attracted more than 900 delegates, including representatives from airports, airlines, tourism authorities, and key aviation stakeholders.

Routes Asia 2025 served as a vital platform for decision-makers to engage in over 3,000 face-to-face meetings, exchange best practices, and explore new air service opportunities. It also features insightful conference sessions led by international experts in aviation and tourism.

Despite strong demand, Menon cautioned that the airline industry faces significant supply chain disruptions, affecting aircraft deliveries and overall capacity expansion.

“In 2024, the airline industry faced a shortfall of about 25 per cent in aircraft deliveries. In 2025, the International Air Transport Association (IATA) predicts a 21 per cent shortfall.

“Why? Because of supply chain problems. These challenges extend across the entire aviation ecosystem, affecting aircraft manufacturers, parts suppliers, and engine producers,” he said.

Additionally, rising operational costs remain a pressing challenge.

“Typically, an industry has four means of production: raw materials, capital, labour, and plant. Cost increases across these areas are impacting the sector,” he said.

Nevertheless, Menon emphasised that the Asia-Pacific region remains resilient despite the constraints.

On sustainability, he stressed that airlines are leading efforts to combat climate change but need greater support from governments and suppliers.

“Airlines are being asked to bear the brunt of the transition costs. To scale up sustainable aviation fuel (SAF), the additional cost needed for the global aviation industry is US$4.7 trillion. 

“The majority of it will be borne by the airlines because 66 per cent of the emission reduction must come from SAF,” he noted. 

Beyond fuel costs​​​​​​, he said airlines also face increasing government regulations, taxes, and mandates adding to their financial strain.

“In a nutshell, the cost that the airline industry is bearing is US$744 billion in 2050, compared to the US$1 billion that they are spending on fuel. So this is a huge cost,” he added.

-- BERNAMA