News
Regional airline association optimistic on outlook for air travel
November 17th 2025
Association of Asia Pacific Airlines (AAPA) director general, Subhas Menon, expects international passenger traffic to continue to grow in line with long-term trends, supported by a growing services sector and rising regional connectivity. Read More » However, the recent ratcheting up of tariffs from the U.S. represented a "new crisis" across all sectors, including aviation. "Asia is faring worse than other parts of the world with the tariffs," Menon told the AAPA Assembly of Presidents gathering in Bangkok this past weekend. "Tariffs haven’t dampened demand yet. But they add to the supply crisis we are facing. While aircraft and engines are exempt, their raw materials, and components which come from many parts of the world, are not. Tariffs also affect demand through inflation. It is a double whammy as both supply, and demand sides of the market are affected."
At the AAPA Assembly of Presidents in Bangkok, delegates passed resolutions which:
• reaffirmed their commitment to 5% sustainable aviation fuel (SAF) use by 2030
• called for targeted investment to strengthen supply chains
• called for the safe passage of lithium batteries in line with International Civil Aviation Organisation (ICAO) regulations, and
• called on regulators to refrain from imposing taxes or charges on international air transport which were not cost-related or consistent with ICAO guidance.
"AAPA airlines are optimistic," Menon said. "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."
