At the conclusion of the 69th Assembly of Presidents last week, leaders of the Association of Asia Pacific Airlines (AAPA) expressed confidence in the region’s continued air transport growth through 2026, supported by resilient economies and strong passenger and cargo demand.
Despite persistent geopolitical and trade tensions, AAPA members registered robust international air traffic performance. International passenger traffic for Asia Pacific carriers rose 10% in the first nine months of 2025, while air cargo demand expanded 7%, outpacing global averages.
“Asia Pacific airlines continue to demonstrate agility in managing supply chain constraints, with capacity growth keeping pace with demand,” said Subhas Menon, AAPA Director General. “However, further escalation of tariffs could exacerbate these bottlenecks.”
The Assembly brought together airline leaders, manufacturers, and industry partners to address key industry priorities, including supply chain resilience, sustainable aviation fuel (SAF) deployment, and enhancing manpower resilience.
“Stakeholders across the aviation ecosystem must work together to navigate the evolving challenges of the external environment. The Assembly reaffirmed the industry’s unity and determination to navigate global uncertainty, much as it did during the pandemic,” Mr Menon added.
AAPA expects international passenger traffic to continue expanding in line with long-term trends, supported by a growing services sector and rising regional connectivity. The outlook for air cargo demand remains broadly positive, but subject to uncertainties from global trade policies and elevated costs, including those from new US tariffs and limited SAF availability, said a release.
“AAPA airlines are optimistic,” said Mr Menon. “Our focus in 2026 will be to advance aviation safety and sustainability across the Asia Pacific region, strengthen supply resilience in collaboration with regulators and suppliers, and promote air transport connectivity.”