India, China, southeast Asia set to dominate air travel growth, report says

According to Alton Aviation Consultancy, India is one of the world's fastest-growing aviation markets, underpinned by robust economic fundamentals and a rapidly expanding middle class

Asia is emerging as the engine of global aviation growth, with India, China and Southeast Asia forecast to account for eight of the world's 10 fastest-growing air travel markets between 2024 and 2044, according to a whitepaper released on Monday, ahead of the 2026 Singapore Airshow. 

The paper by Alton Aviation Consultancy outlines that international traffic in Asia-Pacific grew by 8.0 per cent in 2025, outpacing global RPK growth of 6.8 per cent. Carriers across the region have launched more than 600 new routes since 2015, significantly improving access to underserved destinations and enhancing intra-regional connectivity.

The whitepaper highlights India as one of the world's fastest-growing aviation markets, underpinned by robust economic fundamentals and a rapidly expanding middle class.

 

While China continues to play a dominant role, Alton notes that Southeast Asia is an emerging growth region, led by markets such as Indonesia, Vietnam, and the Philippines.

Mabel Kwan, Managing Director in Alton's Singapore office, said, "Asia's air travel story is no longer just about China. The growth we're seeing in South and Southeast Asia is broad-based. Airlines are responding with strategic moves, from entering new markets and renewing fleets to forging ambitious partnerships that reflect the region's evolving competitive dynamics."  The report also identified significant near-term opportunities in currently unserved or underserved routes across the region. The arrival of longer-range narrow-body aircraft is expected to unlock new point-to-point services between secondary cities, enabling sustainable growth on routes previously unsuitable for wide-body aircraft.

In addition to its passenger growth outlook, the whitepaper underscores Asia-Pacific's growing share in the global air cargo market, with the region now accounting for approximately 40 per cent of total freight demand.

This reflects the increasing importance of intra-Asia trade and Asia's role as a critical link in global supply chains, it states.

The report also highlights a growing wave of airline consolidation across Asia, as carriers restructure in response to cost pressures and competitive intensity. While demand remains strong, margin challenges are prompting operators to pursue new models for long-term resilience.

"As competition intensifies and financial headwinds persist, consolidation has become a strategic necessity for many airlines in Asia," added Adam Cowburn, Managing Director in Alton's Singapore office.

"We're seeing patterns that echo past restructuring cycles in North America and Europe. But in Asia, this shift is unfolding against a backdrop of ongoing traffic growth, which presents a very different kind of opportunity," Cowburn said.

To support this growth, governments and airport operators across the region are advancing large-scale infrastructure programmes and rolling out next-generation technologies designed to improve capacity, operational efficiency and the passenger experience.