Southeast Asia airlines: part two – fleet plans signal growth ambitions

Southeast Asian Airlines, led by LCCs, have built up large aircraft order backlogs as they look to tap into the growth potential of this subregion.

Part one of this analysis looked at the broad trends that are boosting Southeast Asian travel demand, and it also examined overall order and delivery dynamics.

Southeast Asia is projected to have the equal highest annual traffic growth rate of any subregion over the next 20 years, along with South Asia.

Airlines in the subregion have about 1,700 aircraft on order, of which 83% are narrowbodies.

Part two of this analysis takes a more detailed look at airline fleet plans and upcoming deliveries. It also examines some of the largest airport development projects that will enable the anticipated fleet growth.

Many of the Southeast Asian full-service carriers are overhauling their fleets with new deliveries, albeit at a slower pace than they had expected. In some cases they are considering further orders.

The Asia Pacific region's largest LCCs are found in Southeast Asia. These LCCs dominate their local markets, and the four largest account for several hundred narrowbody orders.

Their orders far outweigh those of the full-service carriers, as LCCs are well-positioned to cater to growing middle classes in many countries.