BANDAR SERI BEGAWAN, Brunei – Indonesia’s biggest budget airline operator Lion Air will join the Association of Asia-Pacific Airlines to become the regional trade body’s first low-cost carrier, the AAPA said on Nov 13.
Lion Air’s addition to a group primarily made up of full-service legacy flag carriers highlights the growing importance of low-cost carriers in Asia-Pacific.
Budget airline capacity globally has grown rapidly in the past 25 years and now accounts for around a third of all airline seats. Four of the world’s 10 largest airlines today are budget carriers, according to airline data firm OAG.
In response, aviation’s big industry bodies such as the International Air Transport Association have made efforts to attract budget airlines.
The 15-member AAPA aims to represent the interests of airlines in the Asia-Pacific region, which accounts for around 32 per cent of global passenger traffic, according to IATA.
The AAPA includes major carriers such as Singapore Airlines and Hong Kong’s Cathay Pacific Airways, but none from mainland China or Oceania.
Air India joined in 2022, adding representation from one of the fastest-growing aviation markets, but South Korea’s Korean Air and Asiana withdrew during the Covid-19 pandemic.
AAPA director-general Subhas Menon said the pandemic, which largely grounded civil aviation, showed airlines the importance of collaboration. REUTERS