Demand for air travel in Asia Pacific set to grow steadily amid global uncertainties: Changi Airport Group
Changi Airport welcomed more than six million passengers in December last year.
SINGAPORE — Fuel costs and trade tensions may make for a challenging business environment but demand for air travel in Asia Pacific is still forecast to grow steadily, said Changi Airport Group (CAG) on Tuesday (Jan 29), as it posted a record passenger haul of 65.6 million last year.
This was a 5.5-per-cent increase in passenger movements from 2017, said the group, with December being the busiest month of the year. During the month, Changi Airport welcomed more than six million passengers.
Aircraft movements — landings and take-offs — increased by 3.4 per cent to 386,000, while cargo volumes rose by 1.4 per cent to reach 2.15 million tonnes.
The busiest day of the year was Dec 21, which was the Friday before Christmas, with 221,155 passengers passing through Changi’s terminals, setting a new daily record for the airport.
“We expect 2019 to pose challenges,” said Mr Lim Ching Kiat, CAG’s managing director of air hub development.
Citing factors such as rising fuel prices and trade tensions, he added: "While these potential headwinds may impact the industry, demand for air travel in the Asia Pacific region is forecast to grow steadily."
Changi’s top 10 routes remained unchanged, but Bangkok and Denpasar (Bali) were more popular destinations this year. The two destinations each moved up one spot to second and sixth position respectively.
Traffic to six of Changi’s top 20 routes — Denpasar, London, Manila, Melbourne, Mumbai and Sydney — grew by at least 5 per cent.
Traffic between Singapore and India — Changi’s sixth largest market — also rose to 4.76 million last year.
Singapore is now linked to North-east India via Guwahati, operated by Drukair Royal Bhutan Airlines. The connection to Pune opens up a direct connection between Singapore and the second largest city in Maharashtra State, one of Changi’s top unserved points in India.
BETTER CONNECTIVITY
During the year, Changi Airport welcomed three passenger airlines — Guangxi Beibu Gulf Airlines, LOT Polish, and Shandong Airlines.
Seven new passenger city links were also added, said the group. These were to China (Nanchang), Germany (Berlin), India (Guwahati, Pune, Vijayawada), Indonesia (Belitung), and Poland (Warsaw).
Connectivity to Europe strengthened with non-stop links to Warsaw and Berlin. Qantas reinstated its Singapore-London service, while German airline Lufthansa resumed operations to Munich.
Last year, Singapore Airlines also launched the world’s longest flight to New York (Newark), as well as introduced non-stop services to Los Angeles.
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Traffic between Singapore and the continental United States increased 21 per cent last year, with 74 weekly services to Houston, Los Angeles, New York, San Francisco and Seattle.
CAG also embarked on a new initiative to work with travel agents to offer flight charter services to new destinations in China, such as to Guiyang and Zunyi.
Charter services to other Chinese cities such as Yancheng, Yichang and Zhangjiajie are also being explored. Charter services are “key to cultivate demand to new cities and pave the way for scheduled services,” said the group.
China is Changi’s third largest market, with 15 airlines operating more than 370 weekly services to 36 city links.
Mr Lim also gave an update on passenger traffic on Terminal 4, stating that the newest terminal has served 8.3 million passengers last year, completing its first year of operations.
Jewel Changi Airport is set to open later this year.
“With aviation facilities, retail offerings and play attractions, Jewel will augment Changi Airport’s status as an air hub. Terminal 1’s expansion will also be completed, increasing the airport’s handling the capacity to 85 million passengers per annum,” said Mr Lim.
