Malaysia

Malaysia Airlines and Manchester United will partner to feature Manchester United’s livery on A330-300 airplanes. Manchester United will play at the Bukit Jalil Stadium against an ASEAN All-Star team as part of their pre-season tour on 28 May

Malaysia Airlines will resume direct flights to Brisbane, Queensland, from 29 Nov. The airline will offer return fares from RM1,999 for economy class and RM8,999 for business class

Malaysia Aviation Group (MAG) recorded a RM54 million net profit for 2024, its second consecutive annual profit, despite being -93% YoY, where it recorded RM766.19 million. MAG cut its capacity by 18% in Q4 2024, which affected 6,388 flights and 1 million customers. This move erased its gains made from Q1-Q3 2024. MAG’s Managing Director said that without the capacity cut, MAG would have recorded RM585 million in net profit. MAG’s cargo and other non-airline segments helped to make up the losses. MAG’s passengers increased to 16.6 million, +14.5% YoY and average load factor reached 80%. The passenger yield dropped to 30.1 sen from 33.3 sen. Malaysia Airlines recorded RM139 million operating profit in 2024, -87% YoY from the RM1.09 billion it recorded in 2023. Amal recorded +36% YoY in financial performance. Firefly recorded an increase in its losses YoY after the airline started operation from Subang Airport. Firefly’s load factor improved by 10% but its yield dropped 19%. MAG plans to operate 55 Boeing aircraft by 2030. Forward bookings increased by 9% YoY with network expansion to ASEAN, New Zealand, South Asia, and Paris. MAG Managing Director said they remain cautious and “Rising tariffs, inflationary pressures, and global supply chain volatility will continue to shape our cost landscape”

Malaysia Aviation Group’s (MAG) Managing Director said the company is committed to operate independently of any Khazanah Nasional Bhd’s bailout despite threats of increasing operating costs due to the new US tariffs. He added the group ended 2024 with a RM3 billion cash balance. MAG is also open to source new aircraft, including from COMAC

AirAsia introduced the Auto Visa Check (AVC) feature on the AirAsia MOVE app and airasia.com to help passengers check international routes that require a visa and Electronic Travel Authorisation (ETA)

AirAsia will launch a direct charter flight between Macau-Tawau from 2 May 2025-30 Apr 2026, with 2 flights per week. Shenzhen Century Holiday Travel Group will operate these flights and will bring 15,000 tourists

The Malaysian Aviation Commission (MAVCOM) reported that all 4 Malaysia-based airlines’ on-time performance (OTP) recorded below the 85% target. AirAsia, AirAsia X, and Batik Air recorded improvement on MoM basis: AirAsia recorded 64% OTP in Jan 2025 vs 70.3% in Nov 2024 and 54% in Dec 2024 AirAsia X recorded 74.6% OTP in Jan 2025 vs 82.3% in Nov 2024 and 72.1% in Dec 2024 Batik Air recorded 60.9% in Jan 2025 vs 59% in Nov 2024 and 57.3% in Dec 2024 Malaysia Airlines recorded 69.8% OTP in Jan 2025 vs 78.2% in Nov 2024 and 72.5% in Dec 2024 For domestic OTP: AirAsia X recorded 85.5% OTP in Jan vs 79.6% in Dec. The airline operated 63 domestic flights in Jan 2025 vs 49 in Dec 2024 AirAsia recorded 69.9% OTP in Jan 2025 vs 63.1% in Dec 2024 Batik Air recorded 73.1% in Jan 2025 vs 71% in Dec 2024 Malaysia Airlines recorded 79.9% OTP in Jan 2025 vs 85.2% in Nov 2024 and 86.1% in Dec 2024 MAVCOM is projecting 105.8-112.9 million air passenger traffic for 2025. Malaysian airports recorded 17.9 million passengers YTD

Abc., (AirAsia brand co.) will launch the AirAsia Buds Adventures program on its YouTube channel from 11 Apr for 12 weeks in collaboration with Moonbug Entertainment. The program will focus on children and families

Tourism industry players in Sandakan are calling on the government to develop Sandakan Airport as the second international airport in Sabah. The Sandakan Tourism Association President said the town is in a strategic position to serve as an international airport. He said 70,000 seats were lost since AirAsia suspended 7 routes from Kota Kinabalu. He added that Sandakan will offer seamless travel to Singapore, Hong Kong, or Guangzhou with direct flights

The Tourism Minister highlighted the potential for better flight connectivity between Malaysia and Vietnam, especially from Hanoi and HCMC. He recently led a delegation from the Ministry of Tourism (MOTAC) and Tourism Malaysia to Vietnam to promote Malaysia. MOTAC recently engaged with VietJet Air and Bamboo Airways to increase flight frequencies between both countries

Chief Commercial Officer of Malaysia Aviation Group (MAG) hinted at announcements regarding the launch of new routes or increased frequencies for the current routes during the MATTA Fair, which will be held from 18-20 Apr at the Malaysia International Trade and Exhibition Centre (MITEC). MAG will offer promotional fares for 15% of its seat capacity under various routes during the MATTA Fair and 15% off on other ancillary products

FitsAir launched a new direct flight between Colombo-Kuala Lumpur with 4 flights per week. In 2024, Malaysia welcomed 61,766 Sri Lankan tourists, +4.2%. Malaysia Airlines, AirAsia, SriLankan Airlines, and FitsAir will collectively offer 30 direct flights with 4,990 seats weekly between Colombo-Malaysia

The Transport Minister said Malaysia is targeting to attract more European airlines to improve trade and tourism. He mentioned the possibility of establishing direct flights with the US

PIA recorded 1.37 million passengers in Jan-Feb 2025, +17.35% YoY vs 1.17 million passengers in Jan-Feb 2024. PIA recorded 320 flights per week, 1.54X of 2016, with 208 flights per week. PIA will add 12 new aircraft bays, 6 contact stands and 6 remote bays, bringing the total to 28 aircraft bays

The Transport Minister said the resumption of British Airways’s direct flight between Heathrow, London and Kuala Lumpur International Airport will strengthen connectivity between both countries. British Airways suspended its service in 2021 due to the pandemic

Sabah welcomed 7,740 domestic and international passengers on 22 flights on 1 Apr at Kota Kinabalu International Airport. The welcoming team handed out goodies to the passengers in conjunction with the second day of Raya

Civil Aviation Authority of Malaysia (CAAM) CEO said flight operations at Sultan Abdul Aziz Shah Airport are continuing as usual despite a gas pipeline fire in Putra Heights, Subang Jaya

Sarawak Premier mentioned MASwings’ headquarters will be moved to Sarawak from Kota Kinabalu, Sabah. He said the employees will be given a choice to continue working in AirBorneo or to explore other opportunities. The process might be completed in 2026

The Perak government and AirAsia will form a committee to study possible new flight routes to and from Ipoh. Perak Tourism EXCO said AirAsia proposed to replace the Ipoh-Singapore route with an Ipoh-Johor route due to landing costs and existing aircraft placement factors. He added that the Sultan Azlan Shah Airport does not have sufficient data on travel demand beyond the Ipoh-Singapore route. He added that AirAsia will share its data, including passenger demographics and travel trends, to help them evaluate the viability of new routes. He mentioned the government asked Scoot Airlines to take over the vacant slots left by AirAsia on 26 Mar. He said the discussion was positive and Scoot will potentially increase its capacity on the Ipoh route. He added they are looking to position Ipoh as a transit hub similar to Scoot’s model to connect passengers between airports. The airport optimisation plan for phase 1 is 90% complete, adding 2 self-service baggage drops at the check-in counters and 4 immigration departure counters. The Federal Government approved RM60 million to expand the airport

The Tourism Minister said a total of 27 new international flight routes will be introduced in 2025, consisting of 16 scheduled flights and 11 chartered flights. By the end of Mar, 12 routes commenced their operations, adding more than 100 flights to Malaysia. The Minister mentioned that most of the new routes will involve mid-sized Chinese destinations such as Wenzhou, Tunxi, and Shijiazhuang, with 8 scheduled flights and 11 chartered flights as part of the Visit Malaysia Year 2026 (VM2026) strategy. He added, these routes will offer direct connections to Tawau, Kota Kinabalu, Kuching, and Langkawi. During the Chinese New Year festival, these additional flights recorded a weekly maximum capacity of 3,024 passengers

The Minister of Natural Resources and Environmental Sustainability said that used cooking oil has become an important source to be used as a base material to produce sustainable aviation fuel (SAF). The Ministry collected around 2,000-3,000 kg of used cooking oil per day from bazaars. The program has a more visible presence in Kuala Lumpur, but this program is being carried out throughout the country. The program is being carried out in 160,000 outlets in Malaysia, including fast food and F&B establishments

Data from Malaysian Aviation Commission (MAVCOM) showed Malaysia recorded 8.7 million passenger traffic in Feb 2025, +6.9% YoY. However, the passenger traffic recorded was -5.9% MoM. MAVCOM reported that a total of 17.9 million passengers have travelled YTD through airports in Malaysia. MAVCOM projected total air passenger traffic for 2025 will range between 105.8-112.9 million. MAVCOM’s data shows domestic air passenger traffic in Feb 2025 reached 4.3 million, +6.6% YoY, and international air passenger traffic reached 4.4 million, +7.2% YoY. International air traffic accounted for 51.5% of total passenger volume in Jan-Feb 2025. Non-ASEAN market growth reached 2.6 million passengers in Feb, +10% YoY, and the ASEAN market recorded 2.2 million passengers, +4.4% YoY. - Kuala Lumpur International Airport recorded +7.2% YoY passenger traffic - Penang International Airport, +8.7% YoY - Senai International Airport, +6.9% YoY - Kota Kinabalu International Airport, +5.3% YoY - Langkawi International Airport, +2.3% YoY - Kuching International Airport, +1.7% YoY

Malaysia Airports Holdings Bhd (MAHB) has said that it is targeting more long-haul airlines, including Europe, North Africa and the Middle East,with at least 12 new international airlines operating. They will continue to work with existing airline partners to help them expand their routes and change from a narrow body to wide body aircraft

The Finance Minister’s Political Secretary said Malaysia Aviation Group’s (MAG) recent Boeing aircraft order was carried out according to the proper procedures and terms, and that there were no vested interests

British Airways will resume its London Heathrow-Kuala Lumpur flight service from 2 Apr. The General Manager of Malaysia Airports Holdings Bhd (MAHB) said this will be part of its strategy to attract more Oneworld alliance members from Europe. Kuala Lumpur International Airport currently hosts Oneworld members, Malaysia Airlines, Japan Airlines, and Cathay Pacific. MAHB is taking steps to bring Finnair and Iberia, alongside non-Oneworld airlines from Germany, Switzerland, France, and Italy

Malaysia Airports Holdings Bhd (MAHB) is in talks with Qantas, Jetstar, and Virgin Australia to establish direct flights to Malaysia. They noted that Malaysia is a popular destination for Australians, but there is a lot of demand for Bali or Bangkok. They also want Australians to explore Langkawi, Penang, and Kota Kinabalu

AirAsia will restrict the use and charging of power banks on AirAsia flights from 1 Apr. Passengers are allowed to carry power banks that are not more than 100Wh or 20,000mAh. Power banks between 100Wh and 160Wh require airline approval at the check-in counter

AirAsia Aviation Group Chief Operating Officer said the airline's short-haul network recovered to 90% of pre-pandemic levels in 2024 and is expected to reach full recovery in 2025. Its long-haul network recorded 92% of pre-pandemic levels in 2024 and is expected to reach 93% in 2025. She said AirAsia Malaysia is expected to make a full recovery by 2025, as it recorded 90% of pre-pandemic levels of recovery in Q1 2025

AirAsia’s CEO said the airline will reach its full capacity in 2025 with the introduction of more than 30 new routes and increased frequencies on its popular destinations. AirAsia’s Fly-Thru traffic recorded a 4.3 million growth in 2024, and they are targeting 7 million Fly-Thru passengers in 2025, 10% of total passengers. AirAsia is evaluating new routes to meet travel demand from easing visa initiatives in countries like China, India, Thailand, and Malaysia. This growth is supported by 16 newly reactivated aircraft and 14 new aircraft in 2025. Kuala Lumpur and Bangkok-Don Mueang (DMK) handled 95% of Fly-Thru traffic. AirAsia is looking to expand to other hubs and is looking to add 1,700 weekly return flights and 323,336 weekly seats across the Group by the end of 2025. In 2025, the airline is expected to operate 234 narrowbody aircraft

AirAsia Deputy CEO said they are in the final stages of securing up to RM1 billion in debt financing from an undisclosed domestic bank to partly refinance its USD-denominated debt. He said AirAsia Aviation Group has about RM4.3 billion in borrowing, including RM3.6 billion in USD

Malaysia Airports Holdings Bhd (MAHB) confirmed that a cybersecurity threat affecting computers at Kuala Lumpur International Airport (KLIA) was detected on 23 Mar. The National Cyber Security Agency (NACSA) and MAHB said an investigation was launched and the Civil Aviation Authority of Malaysia (CAAM) was notified about this. NACSA Chief Executive said the operations at KLIA weren’t affected and they will monitor the situation and will provide necessary support. The Prime Minister said the hacker demanded $10 million USD from the government after a cyberattack. He said the government rejected the demand immediately

Malaysia Airlines resumed flights between Kuala Lumpur and Paris from 22 Mar

AirAsia CEO has said that their routes suspensions to Sabah will not impact tourism there, and will affect around 70,000 passengers. They stated that the routes were not performing, and that it would be more beneficial for Sabah’s tourism goals to work on ensuring that routes into Sabah were profitable and that they would working with the tourism board accordingly

Malaysia Aviation Group (MAG) announced the acquisition of 30 new aircraft including 18 Boeing 737-8 and 12 Boeing 737-10 aircraft, with an option to purchase 30 more Boeing 737 aircraft as part of its fleet modernisation strategy. MAG’s Group Managing Director said they will gradually phase out the older Boeing 737-800 aircraft and will replace them with 55 Boeing 737-8 and 737-10 aircraft by 2030. He said this will help MAG to future-proof their fleet. He said the new order for the 30 jets will be delivered from 2029-2030 for an undisclosed amount. MAG is expecting 5.6% CAGR growth for the next 5 years in the Asia Pacific region, especially ASEAN. MAG currently has an existing order for 25 Boeing 737-8 aircraft through a long-term lease with Air Lease Corporation, of which 11 have been delivered - the remaining will be delivered by 2027. MAG operates 113 aircraft including 42 Boeing 737-800s under Malaysia Airlines, and 5 under Firefly

Passengers travelling on Malaysia Airlines, Firefly, and MASwings must carry power banks with them and should not keep power banks in the overhead compartments from 1 Apr

Capital A said the High Court has confirmed its issued share capital reduction and repayment to allow Capital A to move ahead with its proposed distribution and other key initiatives. Capital A proposed to inject AirAsia aviation businesses into a new company called AirAsia Group Bhd (AAGB) in exchange for AAGB’s RM3 billion worth of shares. Capital A will distribute parts of the shares to its shareholders and RM3.8 billion in debt novation