21 Mar 2025
Acumen Daily Aviation Brief - 21st March 2025
Acumen Aviation Newsletters
Acumen Aviation’s newsletters offer deep dives into the most impactful trends and developments across the aviation sector. These resources are crafted to keep you informed about critical industry changes and provide actionable insights:
- China Aviation Industry Newsletter: This newsletter highlights China's plans to amend its Civil Aviation Law to promote high-quality development, including boosting general aviation and the low-altitude economy. It also covers Emirates' launch of daily non-stop flights between Dubai and Shenzhen, marking Shenzhen as its fourth destination in mainland China, and SF Airlines' new cargo route between Ezhou Huahu International Airport and Bengaluru, enhancing trade links between China and India.
READ NOW: https://www.acumen.aero/blogs/-3-March-2025-china-aviation-industry-newsletter
- India Aviation Industry Newsletter: This edition discusses Air India's relocation to Tokyo Haneda Airport and its expanded codeshare agreement with All Nippon Airways, enhancing connectivity between India and Japan. It also covers Kempegowda International Airport Bengaluru's introduction of an Aerial View Display system to improve operational efficiency and IndiGo's launch of daily direct flights between Tiruchirappalli and Jaffna, strengthening air connectivity between India and Sri Lanka.
READ NOW: https://www.acumen.aero/blogs/-3-March-2025-india-aviation-newsletter
- Irish Aircraft Leasing Newsletter: This newsletter provides insights into Ireland's aircraft leasing industry, highlighting AerCap's strong financial performance in 2024, AFG Aviation Ireland Limited's appointment of Imtiaz Khot as Senior Vice President – Commercial, and CDB Aviation's delivery of an Airbus A320neo to Colorful Guizhou Airlines, supporting the airline's fleet growth strategy.
READ NOW: https://www.acumen.aero/blogs/-3-march-2025-irish-aircraft-leasing-newsletter
- Irish Commercial Aircraft Update: This update details key movements in the Irish commercial aviation sector, including notable aircraft deliveries, leasing transactions, and fleet expansions. Highlights include Aurigny Air Services receiving an ATR72-212A(600) to support regional operations and Air Serbia enhancing its long-haul capabilities with a new Airbus A330-243.
READ NOW: https://www.acumen.aero/blogs/-3-March-2025-irish-commercial-aircraft-update
- North American Aviation Newsletter: This newsletter covers significant developments in North American aviation, such as Air Lease Corporation's lease agreements with Qanot Sharq Airlines for five Airbus A321neo aircraft, Aviation Capital Group's delivery of an Airbus A350-900 to Air France under a sustainability-linked lease, and Delta Air Lines' partnership with JetZero to develop a blended-wing-body aircraft aimed at improving fuel efficiency and reducing emissions.
READ NOW: https://www.acumen.aero/blogs/-3-March-2025-north-american-aviation-newsletter
IrishAero News
Buzz Transfers Two Boeing 737NGs to Malta Air
Buzz, a subsidiary of Ryanair Holdings, has transferred two Boeing 737NG aircraft to Malta Air. This strategic realignment supports Ryanair’s operational strategy of optimising fleet allocation across its subsidiaries, allowing for improved aircraft utilisation within its European network.
Acumen’s Take:
This transfer is a strategic move aimed at balancing Ryanair Holdings' capacity across its various brands. By reallocating aircraft based on seasonal and regional demand, Ryanair enhances its cost efficiency while maintaining a flexible operational structure. Acumen expects further fleet redistributions as carriers optimise networks to address evolving market conditions and fuel efficiency considerations.
EI-KIE Airbus A320neo Delivered to Air Astana
Air Astana has received its latest Airbus A320neo, EI-KIE, as part of its ongoing fleet modernisation efforts. The new aircraft, known for its improved fuel efficiency and lower operating costs, will help the airline strengthen its regional and international operations.
Acumen’s Take:
The delivery of another A320neo highlights the continued demand for next-generation fuel-efficient aircraft in emerging markets. With Air Astana expanding its network, the A320neo’s operational efficiency will be key in maintaining profitability while reducing emissions. Acumen sees this as part of a broader trend where airlines prioritise sustainability while maintaining competitive operating costs.
PC-12NGX Joins Stellaer 212’s Fleet
Stellaer 212 has expanded its fleet with the addition of a Pilatus PC-12NGX, a versatile turboprop aircraft known for its efficiency in regional and business aviation. This acquisition enhances the company’s ability to offer high-performance, short-field operation capabilities.
Acumen’s Take:
The addition of the PC-12NGX demonstrates the growing demand for flexible and cost-efficient aircraft in regional and corporate aviation. As airlines and operators seek to optimize operations in underserved markets, the ability of the PC-12NGX to access smaller airfields makes it a valuable asset. Acumen anticipates increased adoption of similar aircraft as demand for personalized, short-haul air travel rises.
Aircraft Update
Poste Air Cargo Takes Delivery of Boeing 737-8EH(F) Freighter
EI-FXY (c/n 34281), a Boeing 737-8EH(F), has been delivered to Poste Air Cargo in Rome Fiumicino on 13/03/25, previously operating as 2-LBIS. The freighter will be used to strengthen express logistics and e-commerce cargo operations across Italy.
Acumen’s Take:
With the rise of e-commerce-driven cargo demand, regional operators like Poste Air Cargo are focusing on efficient narrowbody freighters. The 737-800BCF/P2F market continues to expand, offering cost-effective solutions for express and regional freight operations.
Buzz Expands Fleet with Two Boeing 737-8200 Deliveries
Buzz, Ryanair’s Polish subsidiary, has taken delivery of SP-RZS (c/n 67069) on 28/02/25 and SP-RZQ (c/n 67119) on 07/03/25 from Boeing Field to Dublin. The aircraft, numbered 174 and 175 in Ryanair’s fleet, continue the airline’s fleet expansion strategy.
Acumen’s Take:
Buzz’s addition of 737-8200 (MAX 8-200) aircraft reflects Ryanair Group’s commitment to fleet modernisation. This high-density, fuel-efficient aircraft will help maximise capacity and reduce operating costs, supporting ultra-low-cost carrier (ULCC) economics.
Global Aviation News
IndiGo Signs Damp Lease Agreement for Three Wide-body Aircraft from Norse Atlantic Airways
IndiGo has signed a firm damp lease agreement with Norse Atlantic Airways for three additional wide-body aircraft, expanding its international long-haul operations. This move enhances IndiGo’s capabilities in the medium to long-haul market, allowing it to test demand without full fleet ownership.
Acumen’s Take:
Damp leasing offers IndiGo a low-risk strategy to enter long-haul markets, leveraging Norse Atlantic’s Boeing 787 fleet. With India’s expanding outbound travel demand, this move positions IndiGo for future direct intercontinental flights while maintaining cost flexibility.
Korean Air Ranked Best In-Flight Experience for 2024
Korean Air has been named the world’s best in-flight airline by Airline Ratings for 2024, recognised for its service quality, comfort, and overall passenger experience. The ranking highlights the airline’s consistent investment in onboard innovation and hospitality.
Acumen’s Take:
Korean Air’s continued leadership in passenger experience solidifies its premium brand positioning in the competitive Asia-Pacific aviation sector. Maintaining high service standards remains a key differentiator in full-service carriers (FSCs) competing for international traffic.
Copa Airlines to Double its Boeing 737-800BCF Freighter Fleet
Copa Airlines is set to double its fleet of Boeing 737-800BCF (Boeing Converted Freighters), strengthening its cargo capacity across Latin America. The move aligns with Copa’s strategy to expand its dedicated freighter network in response to rising demand for regional cargo transport.
Acumen’s Take:
The B737-800BCF continues to be a key player in the narrowbody cargo sector, offering fuel efficiency and operational flexibility. Copa’s investment in dedicated freighters reflects the growing need for efficient cargo transport within Latin America.
LOT Polish Airlines Explores New Operational Base in Chisinau, Moldova
LOT Polish Airlines is considering establishing a new operational base in Chisinau, Moldova, as part of its Eastern European network expansion strategy. The airline aims to increase connectivity and expand regional flight offerings in underserved markets.
Acumen’s Take:
Eastern Europe remains a high-potential growth area, and LOT’s interest in Chisinau aligns with its strategy to strengthen its position in the region. This could open new transit opportunities between Western Europe and the Balkans.
Lufthansa to Link Loyalty Rewards to Cash Ticket Prices Instead of Points
The Lufthansa Group has announced a significant change to its loyalty program, shifting from a miles-based redemption model to one based on cash ticket prices. This move aligns with global trends among airlines looking to monetise loyalty programs more effectively.
Acumen’s Take:
The shift to cash-linked loyalty redemptions reflects an industry-wide push for revenue-based loyalty programs, favouring high-spending passengers over frequent flyers. This change could impact long-term customer retention among budget-conscious travellers.
Irish Aviation News
Jackson Square Aviation Orders 50 Airbus A320neo Family Aircraft
Jackson Square Aviation (JSA) has placed an order for 50 Airbus A320neo family aircraft, reinforcing its position as a key lessor in the single-aisle market. The new aircraft will cater to the growing demand for fuel-efficient, next-generation narrowbodies among global airlines.
Acumen’s Take:
With airlines prioritising fuel efficiency and sustainability, leasing firms are securing next-gen aircraft to meet strong market demand for lower-emission fleets. JSA’s move underscores the continued growth of the leasing sector and the enduring appeal of the A320neo family.
NAC Sells Two E190 Airframes and Two Engines to Regional One
Nordic Aviation Capital (NAC) has sold two Embraer E190 airframes and two engines to Regional One, reflecting continued demand in the regional jet aftermarket. The assets will likely be used for spares or conversion projects.
Acumen’s Take:
As regional airlines extend aircraft lifecycles, demand for E190 parts and airframes remains steady. This sale highlights the strong secondary market for regional aircraft components, supporting MRO and fleet optimisation strategies.
Irish Residents' Outbound Travel Up 18% in January 2025
Outbound trips by Irish residents in January 2025 increased by 18% compared to 2024, indicating a strong recovery in international travel demand. Popular destinations include Spain, Portugal, and the UK, with both leisure and business travel rebounding.
Acumen’s Take:
The rise in outbound travel from Ireland highlights economic stability and strong consumer confidence in air travel. Airlines serving Irish markets may increase capacity on key European routes to capitalise on the demand surge.
Ryanair Supports Berlin Mayor’s Push to Ease Night Flight Restrictions
Ryanair has backed Berlin’s mayor in easing night flight restrictions, citing the economic benefits of extended operating hours. The airline argues that current limits hinder connectivity and impact Berlin’s competitiveness as an aviation hub.
Acumen’s Take:
With air traffic growth in Europe, night flight restrictions remain a key regulatory challenge. Loosening restrictions could increase airline profitability and improve airport efficiency, but noise concerns will remain a major opposition factor.
Ryanair to Withdraw from Airport in Northern France
Ryanair has announced plans to cease operations at an airport in northern France, citing operational constraints and financial feasibility concerns. The withdrawal is part of its ongoing network optimisation strategy.
Acumen’s Take:
Ryanair’s route adjustments reflect the cost-sensitive nature of ULCC (Ultra-Low-Cost Carrier) operations. As demand and airport charges fluctuate, airlines will continue to prioritize high-traffic, high-yield routes, reducing operations in less profitable locations.
Tweet Picks
@kpottermn Southwest CEO Bob Jordan says the quiet part out loud: Axing free baggage "will drive new enrollments in our co-brand credit card program." SW Chase cardholders still get a free bag. If an airline does something these days, you can pretty much bet there's a credit card angle.
@LondonAirTravel British Airways’ last remaining scheduled franchise route from London City to Billund now appears to be suspended indefinitely. There has been uncertainty around the future of this route, operated by SUN-AIR of Scandinavia A/S. for some time.
@TheTranscript_ $LUV SouthWest Airlines CEO: "We are lowering our RASM guide today by three points to an increase in the 2% to 4% range year-over-year....two points are primarily due to softness in bookings and demand, in large part due to the macro environment."
@UPSAirlines We’re excited to announce that we’ve added 5 weekly flights between Paris and Hong Kong to meet the growing demand for exports. And in the last year, we added 200+ flights from Asia Pacific to Europe and the U.S. #avgeek.
Video Picks
Southwest Airlines Introduces Checked Bag Fees and Basic Economy Fare
For the first time in its history, Southwest Airlines will charge passengers for checked bags and introduce a basic economy fare. The move marks a major shift for the airline, which has long differentiated itself with free checked bags and no change fees. Southwest says these changes are necessary to remain competitive and drive revenue growth.
Acumen’s Take:
Southwest’s shift towards a la carte pricing aligns with broader industry trends, where airlines maximise ancillary revenue streams. While the airline’s brand identity has been rooted in simplicity and customer-friendly policies, these changes suggest profitability pressures are pushing even the most passenger-focused airlines toward cost-cutting measures.
United Airlines CEO: Aging Airport Infrastructure and Staffing Issues Threaten U.S. Aviation
United Airlines CEO Scott Kirby has raised concerns about outdated airport infrastructure and staffing shortages, calling the situation unsustainable for future air travel demand. He highlights that many U.S. airports operate with decades-old technology and insufficient staffing, leading to delays, inefficiencies, and a frustrating passenger experience.
Acumen’s Take:
Kirby’s remarks underscore a long-standing challenge in the U.S. aviation industry—ageing airport infrastructure and slow modernisation efforts. As passenger numbers continue to increase post-pandemic, airports must accelerate digitalisation, automation, and workforce investments to enhance operational efficiency and passenger satisfaction.
Why Airlines’ Demand for First-Class Seats Delayed Boeing and Airbus Production
The growing demand for premium and first-class seating has caused delays in Boeing and Airbus production schedules. Airlines are prioritizing high-revenue premium cabins, leading manufacturers to redesign cabin layouts and adjust production timelines. The shift reflects a post-pandemic preference for luxury and high-yield travel experiences, particularly among long-haul carriers.
Acumen’s Take:
Premium travel demand is reshaping aircraft configurations, forcing Boeing and Airbus to adapt their manufacturing processes. While economy seating has traditionally driven capacity decisions, airlines now see premium cabins as key profit centres, leading to customised interiors that require longer production times. This trend highlights the evolving revenue strategy of full-service carriers.
