Association of Asia Pacific Airlines

Asian carriers post solid traffic & load factor increases in 2012 but cargo remains a headache: AAPA

Asian carriers continue to record healthy passenger growth as demand in the region increases rapidly enough to keep up with the additional capacity. But the cargo market, which Asian full-service airline groups rely on more than carriers from other regions, remains weak, impacting overall profitability. Asian low-cost carriers are in a better position relatively as they carry limited amounts of cargo and nearly all their capacity is allocated to the fast-expanding intra-Asia market.

Asian carriers of all types continue to benefit from rapid passenger growth in short-haul and medium-haul markets within Asia. The weaker economic conditions in Europe and North America impacted long-haul traffic in 2012 but overall there was still healthy growth.

Asia Pacific airlines' "ambitious fleet plans" threaten excess capacity, lower load factors in 2012

Asia Pacific airlines are coming off a difficult 2011, thanks to stubbornly high fuel prices and weaker yields in a challenging global economic environment. But not all the problems are necessarily external. Overcapacity is looming as a threat in 2012 as the region's full service airlines gear up for a period of growth and change in the coming decade. Balancing capacity and demand in choppy and unpredictable economic times is not easy and the coming year looks like being one in which at least temporary oversupply is very likely.

Record aircraft delivery levels are being maintained even as traffic growth slows. The upshot of that combination of factors is lower load factors and reduced yields, made more notable as the finance sector - a key user of premium services - is undergoing sometimes savage staff cutbacks. That in turn implies damage to airlines' bottom lines in what is now an intensely competitive market, with low cost airlines, Gulf carriers and Chinese airlines each vying for larger shares of markets which were historically the territory of the region's flag carriers.

EU ETS dominates agenda at November airline meetings, starting with Assoc of Asia Pacific Airlines

The European Union’s controversial Emissions Trading Scheme (EU ETS) was a major point of discussion at last week’s Association of Asia Pacific Airlines (AAPA) annual meeting and will certainly also be a hot topic at upcoming meetings for associations representing airlines in Africa, Latin America and the Middle East. As the EU continues to insist on implementing the new tax from the beginning of Jan-2012, airlines outside Europe and their associations are not surprisingly stepping up their campaign against their inclusion in the scheme.

Association of Asia Pacific Airlines fires broadside at UK aviation policy

The Association of Asia Pacific Airlines (AAPA) has labelled UK aviation policy “dysfunctional” and cited the Air Passenger Duty and the refusal to expand either Heathrow or Gatwick as examples of its shortsightedness.

Chinese airlines report decline in cargo volumes in May-2011

The spectacular rebound in China’s airfreight demand of 2009 and 2010 has slowed notably in 2011. Chinese mainland airlines reported year-on-year declines in cargo volumes in May-2011, marking the second month of year-on-year reductions so far this year. The two reductions in 2011 follow a period of continuous cargo growth that commenced in Jun-2009, as the country’s manufacturing sector recovered at a cracking pace after the global financial downturn.

Asian air cargo demand wilts reflecting “some moderation” in economic growth - AAPA

Asia Pacific’s flag carriers, which combined carry roughly one-third of global air cargo traffic, reported the sharpest decline in international cargo volumes since the global financial crisis in May-2011. Preliminary traffic figures released by the Association of Asia Pacific Airlines (AAPA) showed international air cargo demand (freight tonne kilometres) fell 9.8% year-on-year.