Video of the week: Fleet first, fuel later - Asia's diverging green growth

Aviation sustainability in the Asia Pacific is entering a more tangible phase of development, marked by a shift from advocacy to early-stage execution. Following years of industry lobbying, governments across key markets - including Singapore, Japan, and South Korea - are beginning to implement more structured policy frameworks to support decarbonisation.

These efforts are being complemented by increased investment commitments, particularly in the Sustainable Aviation Fuel (SAF) value chain, where production capacity is gradually expanding across Northeast and Southeast Asia.

However, progress remains uneven and highly nuanced. While policy signals are strengthening, questions persist around the practicality and timing of SAF mandates in a region characterised by cost-sensitive consumers and rapid traffic growth. Airlines continue to prioritise fleet modernisation and operational efficiency as their primary levers for emissions reduction, reflecting both economic realities and the limited availability of SAF at scale.

This session at the CAPA Airline Leader Summit - Asia in Singapore in Oct-2025 underscored a central tension: whether current policy ambition is aligned with market readiness.

Concerns around supply sufficiency, cost pass-through to passengers, and competitive distortion between markets were recurrent themes. At the same time, the discussion explored the potential for greater regional coordination - particularly through frameworks such as ASEAN - to accelerate progress and avoid fragmentation.

Ultimately, Asia Pacific's sustainability transition is underway, but its trajectory will differ from that of Europe and North America. The region's ability to balance environmental objectives with economic growth will define both the pace and shape of its aviation decarbonisation journey.