Preliminary March 2023 traffic figures from the
Association of Asia Pacific Airlines (AAPA) show international
passenger demand remained solid, driven by the robust recovery in
leisure and business travel in Asia and globally.
The easing of travel restrictions, coupled with
strong travel appetite, led to a 494.6% year-on-year increase in
the number of international passengers carried which added up to
19.8 million altogether in March.
As a percentage of pre-pandemic 2019 levels,
demand averaged 61%. Revenue passenger kilometres (RPK) for the
month rose by 354.6% year-on-year, underscoring the relative
strength of regional travel markets.
A comparatively slower 190.9% expansion in
available seat capacity led to a 29.7 percentage point jump in the
international passenger load factor to 82.5% for the month, which
was higher than pre-pandemic levels.
“Asia Pacific airlines carried a combined total of
54 million international passengers in the first quarter of 2023,
well over six times the 8 million passengers recorded in the same
period last year,” said Subhas Menon, AAPA Director General.
“Demand continues to be robust as remaining travel restrictions
are lifted across the region.”
Prevailing weakness in global trade continued to
dampen demand for air shipments. As a result, the region’s
carriers recorded a 10.9% year-on-year decline in international
air cargo demand, as measured in freight tonne kilometres (FTK).
Offered freight capacity remained relatively
stable, with a 0.2% year-on-year decline, supported by the ongoing
restoration of bellyhold capacity on passenger flights. As a
result, the average international freight load factor declined by
7.5 percentage points to average 63.2% for the month.
“Air cargo markets declined by 13.1% during the
same period, reflecting weakness in consumer demand amidst general
inflationary pressures and rising economic uncertainty,” Mr. Menon
said. “Asia Pacific carriers expect to see strong revenue growth
this year even though increasing cost pressures, led by
persistently high fuel prices, would erode earning margins. Asia
Pacific carriers continue to focus on cost efficiencies whilst
restoring flights to destinations in a bid to improve
profitability.”
