Asian airlines address future challenges at Routes Asia Conference 2025

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Asian airlines address future challenges at Routes Asia Conference 2025

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By Sky Industry News

Apr 3, 2025

At the Routes Asia Conference 2025, four prominent Asian airlines shared insights into their current challenges and strategic changes they are implementing. Thai Airways, Japan Airlines, HK Express, and Cebu Pacific discussed the obstacles they face and the shifts they are making to adapt to evolving market conditions in the Asia-Pacific region.

Thai Airways is navigating challenges such as competition from low-cost carriers and aircraft shortages. "The Head of Scheduling for Thai Airways," Thiti Arayakhun, stated that post-COVID, there has been a clear shift in customer preferences towards more ticket flexibility, digital boarding passes, and greater comfort. The airline is expanding its premium economy seating but is facing scheduling difficulties due to aircraft shortages and manufacturing backlogs.

HK Express is focusing on attracting younger travelers and offering experience-driven travel, according to "General Manager for Corporate Planning at HK Express," Matthew Choi. The airline has expanded its route network by focusing on second- and third-tier cities, and aims to optimize fleet use by seeking airports that operate during off-peak hours, viewing these not as challenges but as opportunities.

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Cebu Pacific is dealing with airspace limitations and fleet constraints. "Rohan Kapoor," Group Director of Operations, highlighted the difficulties caused by Manila Airport's airspace congestion and the limited capacity of small airports serving high-demand routes. The airline struggles with engine issues that have grounded aircraft, forcing a shift in fleet planning.

Japan Airlines is adapting to a changing passenger demographic. "Motohisa Abe," Japan Airlines VP for International Route Strategy, noted that the majority of travelers are now foreign visitors. JAL is focused on maintaining its "signature hospitality," even as it faces operational challenges such as longer flight times due to the closure of Russian airspace and a shortage of pilots.

Airline network planners have outlined several needs from airports, requesting incentives for new routes, lower airport taxes for short-haul flights, better slot coordination, and advanced demand forecasting systems.

The Routes Asia 2025 conference emphasized the booming growth of the Asia-Pacific aviation sector, predicting a significant increase compared to pre-pandemic levels. However, airlines are encountering a mix of operational challenges, from aircraft delivery shortfalls to shifting passenger expectations. A coordinated effort between airlines and airports is needed to overcome these hurdles and capitalize on growth opportunities.