Opinion Aviation An ambitious year ahead for Gulf aviation New airlines, routes and aircraft will increase competition across the industry and widen consumer choice By John Grant December 31, 2024, 3:08 PM Riyadh Air Riyadh Air has yet to reveal its schedule, but its aircraft orders are in place and uniforms are ready The Middle East’s aviation sector is constantly evolving and 2025 could be one of its most exciting years yet. The launch of new airlines, routes and aircraft in the Gulf will boost industry competition and widen consumer choice.Every year startup airlines are launched worldwide, typically with a few aircraft. They are generally a combination of small regional carriers, occasionally an offshoot from a larger parent airline. Their ambition is usually one of survival, but once in a while, something big happens. Saudi Arabia’s ‘big bang’ Saudi Arabia’s Riyadh Air is a “big bang” new airline development and its arrival halfway through the decade is symbolic since there will be no more significant launch in the foreseeable future. Its aircraft orders are now in place, the carrier has secured national airport slots for summer 2025, recruitment is well advanced and uniforms are ready. Riyadh Air takes aim at online travel giants Could Riyadh Air’s brand help Saudi Arabia take off? Middle East airlines expected to ride out delivery delays While the airline has yet to reveal its network and schedules, it is possible to decipher its plans by identifying routes from Riyadh that operated during the summer of 2024 but that are significantly reduced for next year. Not surprisingly, Saudi Arabia’s second city, Jeddah, is top of the list, followed by Dubai, Cairo, Kuwait, Istanbul, Bahrain, Milan and Nice, along with a selection of other domestic points. These markets are safe, sensible startups with established traffic volumes and potential for connecting traffic, offering an opportunity for Riyadh Air to capture a large share of highly price-sensitive travel segments. New aircraft models In the UAE, after a longer-than-expected wait, Emirates Airlines has finally added a new aircraft type to its fleet. The airline recently took delivery of the first A350, which is expected to make its inaugural commercial flight to Edinburgh in the first week of January. The A350 has become a widely favoured aircraft. Nearly 600 are in commercial service across more than 35 airlines, including Air China, British Airways, Air France, Air Mauritius and Fiji Airways. It is an ideal aircraft for smaller long-haul markets with a typical configuration of just business, premium economy and economy classes. Emirates will be operating the aircraft in a configuration of 32 business seats, 21 premium economy and 259 economy seats. Several other Middle Eastern airlines are also expecting new aircraft deliveries in 2025. However, the timing and completeness of these deliveries remain uncertain, as Boeing and Airbus work to restore production rates to near-normal levels. Emirates expects to receive around 30 aircraft next year, while Etihad aims to add 14 to its fleet. In the low-cost sector, Saudi Arabia’s FlyNAS is due to receive 11 A320s from Toulouse. More destinations Expanding an airline's network with new destinations is a natural part of growth. Early signs suggest that summer 2025 will be a standout season for new routes from major carriers in the Gulf, as shown in the table below. Etihad is leading the way with seven new destinations, including a highly anticipated service to Atlanta. This route is expected to appeal to the Indian subcontinent market, because of the availability of US pre-clearance at the departure airport. Etihad is also introducing flights to Düsseldorf, despite challenges in the German market, and to Taipei, a destination that has been underserved for some time. Saudi Arabia’s incumbent flag carrier, Saudia, is also ramping up its expansion. The airline is realigning its network, with a stronger emphasis on Jeddah as a hub for connecting traffic. Saudia’s new destinations, such as Marrakech, Tangier and Rabat, are intended to attract a combination of leisure and religious travellers, supporting year-round demand. However growth is judged – whether it is by new airlines, aircraft deliveries or expanded networks – the Middle East will be at the forefront of global aviation in the next 12 months and beyond. The year ahead will also bring fresh opportunities for product innovation at airlines and airports. Sometimes, it is too easy to forget how dynamic the aviation sector is in the region. But 2025 looks like it will be a vintage year for Gulf aviation. John Grant is a partner at the UK consultancy Midas Aviation
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