Report: Asia-Pacific to drive global airline revenue over $1 trillion
The Asia-Pacific region will propel airline revenue to over $1 trillion for the first time in 2025, according to a report published aircraft lessor Avolon.
Avolon’s 2025 Outlook: Fast Forward paper forecasts that more seats will be added to schedules in Asia-Pacific than all other regions combined in 2025.
This comes as airlines’ growth slows in the US and Europe.
Lower oil prices in 2024 helped to more than offset a 19% increase in maintenance costs and 8% rise in labour costs, it says.
In 2025, Avolon projects a 16% increase in the sector’s net profit to over US$36 billion for the year.
However, securing enough aircraft for expansion and fleet replacement will continue to be a major challenge.
Airlines are adapting to this through lease extensions and extending the life of their existing fleet.
As a result, lease rates have risen as much as 50% in the past two years.
Key trends
Airlines: A third year of profitable growth in 2025 is set to help airlines recoup losses in 2020 and 2021. The markets that were first to recover – North America and Europe – are still growing, but at a slower pace, while Asia-Pacific gains momentum.
Manufacturers: Having declined in 2024, new deliveries will increase by c.20% in 2025 with over 1,400 aircraft to be delivered. Despite increasing deliveries, Airbus and Boeing will continue to struggle to hit their targets to ramp up production. Airbus and Boeing’s next production slots are not available until the 2030s, meaning airlines will continue to extend leases.
Lessors: Lessors now hold more new aircraft supply out to 2030 than Boeing and Airbus combined. Orderbooks have consolidated around a smaller number of lessors who will benefit from higher placement returns.
Innovation & Sustainability: Aviation generates US$3.5 trillion in global GDP, supports 88 million jobs, and accelerates social and economic development, but it also contributes c.2% of global emissions. Governments have a strong role to play in setting coordinated global policies that attract private investment both in sustainable aviation fuel production, and transformative new technologies.
Risks: Global economic growth is slowing from a peak of 6.6% GDP growth in 2021 to a steady 3.2% in 2025. Inflation is reducing towards central bank targets.
Andy Cronin, CEO of Avolon said:“The aviation outlook for 2025 is robust, reflecting continued growth in travel demand. Asia-Pacific will be the engine of that growth, and we anticipate global airline revenues will exceed the US$1 trillion mark for the first time.”
The paper was co-authored by Avolon’s Chief Risk Officer, Jim Morrison, and SVP Portfolio Strategy, Marc Tembleque.
Related News Stories: Report: Asia-Pacific to drive global airline revenue over $1 trillion Avolon 2025 outlook report says Asia-Pacific to drive global airline ... Growth in Asia-Pacific to Drive Global Airline Revenue Over US$1 ... Global Outlook for Air Transport Deep Change Charles-Henry Monchau, CFA, CMT, CAIA on LinkedIn: #airlines ... Perspectives: Global E&M Outlook 2024–2028 | PwC Ning Lek on LinkedIn: SIA ranked third most punctual airline in Asia ... Growth in Asia-Pacific to drive global airline revenue over $1 trillion ... Press Release Hub Archives - Page 5 of 288 - Runway GirlRunway ... Worldwide Surface Mount Technology (SMT) Equipment Industry
TravelMole Editorial Team
Editor for TravelMole North America and Asia pacific regions. Ray is a highly experienced (15+ years) skilled journalist and editor predominantly in travel, hospitality and lifestyle working with a huge number of major market-leading brands. He has also cover in-depth news, interviews and features in general business, finance, tech and geopolitical issues for a select few major news outlets and publishers.
Vegas’s Billion-Dollar Secrets – What They Don’t Want Tourists to Know
Visit Florida’s New CEO Bryan Griffin Shares His Vision for State Tourism with Graham
Chicago’s Tourism Renaissance: Graham Interviews Kristin Reynolds of Choose Chicago
Graham Talks with Cassandra McCauley of MMGY NextFactor About the Latest Industry Research
Destination International’s Andreas Weissenborn: Research, Advocacy, and Destination Impact
Graham and Don Welsh Discuss the Success of Destinations International’s Annual Conference
Graham and CEO Andre Kiwitz on Ventura Travel’s UK Move and Recruitment for the Role
Brett Laiken and Graham Discuss Florida’s Tourism Momentum and Global Appeal
Graham and Elliot Ferguson on Positioning DC as a Cultural and Inclusive Global Destination
Graham Talks to Fraser Last About His England-to-Ireland Trek for Mental Health Awareness
Kathy Nelson Tells Graham About the Honour of Hosting the World Cup and Kansas City’s Future
Graham McKenzie on Sir Richie Richardson’s Dual Passion for Golf and His Homeland, Antigua
ADS PRO 
France prepares for a massive strike across all transports on September 18
Turkish tourism stalls due to soaring prices for accommodation and food
CCS Insight: eSIMs ready to take the travel world by storm
Germany new European Entry/Exit System limited to a single airport on October 12, 2025
Airlines suspend Madagascar services following unrest and army revolt