Asia-Pacific Major Carrier Fleet Numbers
The next 12 months could be a pivotal period for the Asia-Pacific airline industry. There are increasing signs across this region that demand and profitability are under pressure, with factors such as global economic uncertainty and international political disputes playing a role.
Many of the full-service airlines are initiating cost-cutting programs and reducing capacity plans to adjust to the changing market conditions. However, fleet renewal will also continue to advance rapidly in 2020. Several airlines are due to receive new-generation widebody and narrowbody types, whose longer aircraft ranges make more routes viable.
Southeast Asia
The prospect of softening demand and broader economic fragility are not good news for those legacy flag carriers already in a vulnerable position. Some large Southeast Asian airlines are struggling or restructuring, and in a few cases even government stakeholders are expressing frustration with their progress.
North Asia
Japan’s two major carriers have been looking ahead to 2020 for some time. The Summer Olympics will be held in Tokyo, bringing an influx of visitors. Japan Airlines and All Nippon Airways have kept growth relatively low over the past few years, but expansion is likely to pick up again in 2020 to take advantage of these developments.
In the South Korean market, Korean Air expects to begin taking delivery of Airbus A321neos and Boeing 737 MAXs in 2020, after significant delays to both types set back its narrowbody replacement program.
Australasia
Cooling demand and weaker financial performance are becoming a concern for airlines in Australasia, causing some of the major players there to implement cost-cutting programs. However, this is not preventing airlines from taking fleet-renewal steps and pushing range boundaries with ultra-long-haul routes.
This is an abbreviated version of an article by Adrian Schofield that appeared in Aviation Week & Space Technology. Find out more details about the carriers in the Asia-Pacific region in the full article. Login or subscribe to get access to the full article.