Flight capacity between Australia and Asia has skyrocketed, reaching its highest levels globally and significantly outpacing the international average (103 percent of pre-pandemic levels), according to new data from Corporate Traveller.
Across the board, India’s capacity sits at 346 percent of pre-COVID figures, Vietnam at 263 percent and South Korea at 153 percent, which Corporate Traveller attributes to a strong recovery in corporate travel and deepening trade ties.
The data reveals that Singapore, the Philippines, China and Hong Kong all ranked within the top 10 international destinations for Australian business travellers in 2024, while Indonesia, Vietnam, South Korea and India are placed within the top 20.
Tom Walley, Global Managing Director at Corporate Traveller, says the shift is significant for Australian corporates.
“It highlights how airlines are racing to keep pace with the popularity in Australia-Asia business. Direct routes are increasing, codeshare agreements are multiplying, and we’re seeing renewed demand for premium cabins as carriers boost seat capacity to keep pace with intensifying trade ties and the renewed emphasis on face-to-face engagement across the region.”
Vietnam and India stand out as key destinations, with the former emerging as one of Australia’s fastest-growing trade partners (bilateral trade has climbed by 10 percent year-on-year), while the latter has seen a recent codeshare arrangement between Air India and Virgin Australia add more seats on direct routes.
Data reveals a number of other key trends, including a sharp uptick in business travel (a 45 percent increase in international business-class bookings out of Australia in the second half of 2024, compared with the same period in 2023) and demand for premium cabins into Hong Kong (60 percent increase) and China (57 percent growth), which indicates that higher-end corporate travel is rebounding and expanding.
Adding to the momentum is recent policy changes in China, with Beijing extending its visa-free entry from 15 to 30 days. Corporate Traveller has since recorded a 21 percent jump in Australian corporate travel to China, with the duration of the average trip also increasing.
“Broader global trade dynamics could see the capacity trend continue as US trade policies under the Trump administration put pressure on traditional supply chains, with businesses turning to Asia to explore new trade opportunities,” concludes Tom.
He suggests the combination of softening visa policies, competitive airline offerings and robust trade figures places Asia firmly at the centre of Australia’s corporate travel landscape.
“Australian companies are capitalising on direct flights, improved frequency and better route networks across Asia. Bilateral trade figures with India, Vietnam and other ASEAN economies are going up, and we see a clear link between stronger commercial ties and airlines prioritising the Australia-Asia corridor.”
As competition intensifies among airlines, Corporate Traveller forecasts that routes are to become even more competitive, providing Australian businesses with greater connectivity, efficiency and choice in their corporate travel plans.
