Asia Pacific Airline Trends

Asia Pacific Airlines Traffic Results Show Continued Growth for July 2015

Taken together, airlines based in the Asian region carried 23.7 million international passengers in July, a 6.5% increase compared to the same month last year. In revenue passenger kilometre (RPK) terms, international passenger demand grew by 8.6%, exceeding the 6.2% expansion in available seat capacity by a comfortable margin.

Association of Asia Pacific Airlines

Preliminary traffic figures for the month of July released by the Association of Asia Pacific Airlines (AAPA) showed further robust growth in international passenger numbers, whereas air cargo demand has weakened.  

Taken together, airlines based in the Asian region carried 23.7 million international passengers in July, a 6.5% increase compared to the same month last year. In revenue passenger kilometre (RPK) terms, international passenger demand grew by 8.6%, exceeding the 6.2% expansion in available seat capacity by a comfortable margin. As a result, the average international passenger load factor climbed 1.8 percentage points higher to 80.9% for the month.  

Air freight markets, on the other hand, softened in July reflecting a slowdown in world trade activity and weakening demand for Asian exports. Measured in freight tonne kilometre (FTK) terms, air cargo demand registered a 2.2% decline compared to the same month last year. Offered freight capacity increased by 2.9%, leading to a 3.2 percentage point fall in the average international freight load factor to 62.1% for the month.  

Commenting on the results, Mr. Andrew Herdman, AAPA Director General said, "Asian carriers have seen sustained growth in air travel demand on both regional and long haul routes. Overall, for the first seven months of the year, Asian carriers carried a combined total of 159.3 million international passengers, 9.0% more than the same period last year."  

Mr. Herdman added, “On the freight side of the business, air cargo demand began the year quite strongly but has lost momentum as a result of a slowdown in global trade and weaker demand for Asian exports. For the January – July period, the region’s carriers reported a 3.5% increase in international air cargo demand, down from the 5.3% growth recorded in 2014.”  

Mr. Herdman added, “Consumers are enjoying the benefits of lower oil prices, including access to a wide range of affordable airfares, which are helping to drive the sustained growth in travel demand. Asian airlines are focused on meeting that growth in demand, whilst achieving further cost savings and operational efficiencies to deliver improved levels of profitability to support future investment."  

Mr. Herdman concluded, "Whilst demand for air travel remains robust, the weak cargo markets highlight some wider concerns about downside risks to the global macroeconomic outlook, including the effects of slower growth in China, exaggerated currency movements and stock market volatility, that could affect both business confidence and consumer demand going forward."  

TRAFFIC UPDATE PRELIMINARY

International Scheduled Services of Asia Pacific Airlines

International

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Jul-15

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Jul-14

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% Change

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Jan-Jul 2015

Jan-Jul 2014

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% Change

Passengers (000)

page2image18184

23,655

page2image19728

22,204

page2image20792

+ 6.5%

page2image21896

159,342

146,243

page2image23544 page2image23864

+ 9.0%

RPK (mn.)

page2image26448

88,918

page2image27696
page2image28488

81,857

page2image29416
page2image29888

+ 8.6%

page2image30856
page2image31328

573,799

page2image32256

529,778

page2image33488 page2image33808

+ 8.3%

page2image34776 page2image35096

ASK (mn.)

109,894

103,508

+ 6.2%

733,041

688,809

+ 6.4%

Passenger Load Factor

80.9%

79.1%

+ 1.8 pp

78.3%

76.9%

+ 1.4 pp

FTK (mn.)

5,358

5,481

- 2.2%

37,387

36,116

+ 3.5%

FATK (mn.)

page2image58184

8,632

page2image59432
page2image60224

8,391

page2image61152
page2image61624

+ 2.9%

page2image62592
page2image63064

58,503

page2image63992

55,988

page2image65224 page2image65544

+ 4.5%

page2image66512 page2image66832

Freight Load Factor

62.1%

page2image69320

65.3%

page2image70704

- 3.2 pp

page2image71848

63.9%

page2image72912

64.5%

- 0.6 pp

page2image74800 page2image75120
  • Effective September 2014, the dataset comprises aggregated traffic data from the following 31 Asia Pacific based carriers: 5J, 6E, 9W, AI, AK, BI, BR, CA, CI, CX, CZ, GA, JL, JQ, KA, KC, KE, MH, MU, NH, NZ, OZ, PG, PR, SG, SQ, TG, TR, QF, VA and VN.

  • Previous year data adjusted for comparison purposes

  • RPK = revenue passenger kilometres

  • ASK = available seat kilometres

  • FTK = freight tonne kilometres

  • FATK = available freight tonne kilometres

  • All figures, including estimates for missing data, are provisional 



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