AirAsia boosts Kuala Lumpur International Airport as global LCC Megahub with new route launches in Q4

The airline eyes further expansion into Asia and Africa, positioning Malaysia and KLIA as key hubs for low-cost connectivity surpassing its neighbouring countries to emerging destinations

SEPANG, October 10, 2024 -- AirAsia, recently recognised by OAG's 2024 Megahubs Index as the leading contributor to Kuala Lumpur International Airport’s (KLIA) status as the top global Low-Cost Carrier (LCC) Megahub, has reaffirmed its commitment to expand its operations from this hub. Ranked as the world’s second most connected airport after London Heathrow (LHR), the report highlights that KLIA offers over 14,500 possible low-cost connections across 137 destinations. 

A megahub is defined as an airport that offers a high volume of connections to international destinations, facilitating extensive global travel. Apart from LHR and KLIA, other top Megahubs were Haneda Airport in Tokyo, Schiphol International Airport in Amsterdam, and Incheon International Airport in Seoul.

As a leading carrier, AirAsia operates 43% of all flights and accounts for 74% of the airport’s total LCC capacity¹. In the fourth quarter of this year (Q4), the airline confirmed the launch of five new routes, adding to the existing 112 international and 14 domestic routes it currently operates from KLIA across all airlines in the Group. Additionally, the airline will be introducing new routes to other countries in Asia and Africa. Currently, there are up to 236 daily departures from KLIA.

AirAsia’s vast connectivity from the five countries it operates in across Asean in Bangkok, Thailand; Jakarta, Indonesia; Phnom Penh, Cambodia; and Manila, the Philippines plays a vital role not only in establishing Kuala Lumpur as the top global Megahub Low-Cost Carrier but also in reinforcing its dominance in regional markets. AirAsia Thailand is the leading carrier at Don Mueang International Airport in Bangkok, which ranks as the 15th most connected LCC airport globally, while AirAsia Indonesia holds a similar position at Gusti Ngurah Rai International Airport, ranked 18th in the top 25 LCC airports.

Tony Fernandes, CEO of Capital A and Advisor of AirAsia Aviation Group, commented: “When I co-founded AirAsia 23 years ago, I envisioned a future where KLIA would stand among the global elite airports. It is now the second most connected airport globally, powered by the momentum AirAsia has built as the world’s leading LCC megahub. KLIA tops the airports in this region, offering more than 14,500 possible low-cost connections, surpassing Singapore and Bangkok in terms of air connectivity.

“AirAsia’s ongoing network expansion will not only further boost KLIA’s position among the world’s best but also ensure that we remain competitive in connecting emerging and established markets. The imminent EGM for Capital A with shareholders next week to unify operations under one aviation group will strengthen this expansion plan, enabling us to streamline and drive long-term growth for the airline.

“AirAsia is the largest foreign operator for routes between Asean and both India and China and KLIA is a key hub in our Fly-Thru service. The recent launches of the Almaty, Nairobi and Port Blair routes mark AirAsia's foray into new frontiers, with more flights to Asia and Africa on the horizon. As AirAsia navigates growing macroeconomic tailwinds and rising travel demand across the Asia-Pacific region, our network expansion is bridging connectivity between regions like never before, elevating low-cost connectivity out of KLIA to a whole new level.”

Bo Lingam, CEO of AirAsia Aviation Group, highlighted the role of AirAsia’s fleet expansion in supporting its network growth plans. “We reactivated our order book this year having taken delivery of four new A321neos with five more to go, and our fleet reactivation exercise is ongoing and targeted to be completed this year. We currently hold an order for 361 units of the A321 model to meet the airline group’s fleet growth and replacement needs. With this secured aircraft delivery stream, we can rapidly grow our network and enhance connectivity across Asia and beyond, and turn Southeast Asia into the next Dubai as a key transit point through our multi-hub connectivity.

“Our Fly-Thru service has also been instrumental in connecting guests from across Asia. It allows travellers from key markets including India and China to access a growing number of new and exciting places across our network of more than 130 destinations across Asia, Australia and soon Africa. We aim to grow Fly-Thru traffic to 25% by 2025, up from 21% in 2019, further enhancing our connectivity.”

In line with its growth plans to establish a global low-cost carrier network, the airline is poised to announce more exciting destinations before the year ends, reinforcing its commitment to connecting Asean with the world, and the world with Asean.

 ¹Source: SRS Analyser for Jan - Sept 2024 period covering all AirAsia and AirAsia X airlines

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