Vietnamese crab exporterdouble-skinned crabs
Advertisement
Aviation
This Week in AsiaEconomics

Lion Air disaster: just a blip in Asia’s runaway air travel boom?

  • The Indonesian carrier’s crash that killed 189 people raises questions over whether Asia’s aviation sector is struggling to keep up with breakneck growth.

6-MIN READ6-MIN
Relatives mourn those who died in the Lion Air disaster. Photo: EPA
Charles McDermid

Asia is set for a boom in air travel, according to a range of forecasts, but the eye-popping predictions have also brought concerns about congested airports, a lack of pilots and flight safety.

The rise of Asia’s aviation sector – described as “unprecedented long-term growth” by the International Air Transport Association (IATA) – is being driven by middle class travellers from China and India, the emergence of new players like Indonesia and Vietnam, and intense competition among low-cost carriers. Technological and entrepreneurial innovations have also played a role, as has the region’s overall economic good health.
Even so, the industry as a whole has been left scrambling to catch up to increasing demand – a complex, urgent and expensive process that has been made even more difficult by the Lion Air crash in Indonesia that killed 189 people in October.

“The aviation boom in Asia is a game changer,” said Conrad Clifford, the IATA’s regional vice-president for Asia-Pacific. “We are forecasting that Asia-Pacific will see an extra 2.35 billion annual passengers by 2037, for a total market size of 3.9 billion passengers. This growth is a huge opportunity for the region’s economies and aviation but also a challenge in terms of infrastructure, human capital, regulation and investment.”

Airports Council International (ACI) predicts that by 2040 China will become the largest passenger market with just under 4 billion passengers, or about 20 per cent of all global traffic, while India will have 1.3 billion. The Asia-Pacific region, over the same time, is expected to contribute more than 42 per cent of all international air travellers.

Select Voice
Select Speed
1x
AI-generated voice