HSR could decimate traffic on world’s third largest international route: Singapore-Kuala Lumpur

The landmark agreement unveiled by Malaysia and Singapore on 19-Feb-2013 to build a high speed rail (HSR) connecting Kuala Lumpur with Singapore could result in a huge drop off in air traffic between the two cities if the new HSR link opens as planned in 2020. The new rail line could also change the dynamics of competition between Singapore Changi and Kuala Lumpur International, particularly if the line includes stops at either or both airports. The construction of HSR in Malaysia could also alter the country's domestic market should the line be extended to include other Malaysian cities.

Singapore and Kuala Lumpur are only about 350km apart and are already connected by highway. But the lack of an HSR option and the opening of the route to budget carriers in 2008 had led to a huge increase in flights between the two cities, making Singapore Changi-Kuala Lumpur International Airport (KLIA) the third largest international route in the world.