Asia’s Skyrocketing Airport Boom: Shaping the Future of Travel
Asia is set to drive the tourism boom across the Asia-Pacific region.
The Pacific Asia Travel Association projects that International Visitor Arrivals (IVAs) will surge from 619 million in 2024 to 762 million by 2026, marking a strong recovery at 112% of pre-pandemic levels.
Leading this resurgence, Asia alone is expected to welcome 564 million visitors, with the Americas and the Pacific following at 167.7 million and 30.4 million, respectively.
This impressive rebound underscores Asia’s resilience and its growing appeal as a premier global travel destination.
According to CAPA - Centre for Aviation, the Asia-Pacific region dominates global airport development, both in the number of projects and the scale of investment.
As of July 2024, there are 575 airport projects worldwide — either new builds or upgrades — valued at a staggering US$488 billion. Of this, US$217 billion is being funneled into 170 Asia-Pacific projects aimed at enhancing existing airports.
When it comes to new airport developments, Asia-Pacific takes the lead with 60% of global projects, leaving the rest of the world to account for just 40%.
This highlights the region’s critical role in shaping the future of aviation infrastructure.
The Business Information Industry Association reports a surge in airport construction across Southeast Asia, with Vietnam and the Philippines at the forefront in new airport projects.
According to the International Air Transport Association (IATA), Vietnam ranks as the fifth fastest-growing aviation market in the world, projected to handle 150 million passengers by 2035. The Civil Aviation Authority of Vietnam (CAAV) forecasts an annual growth rate of 7.5% to 8.5% for passenger traffic and 8.4% to 9.7% for freight between 2020 and 2030. To meet this demand, Vietnam plans to invest VND 400 trillion (US$16.4 billion) in airport development through 2030, with a vision extending to 2050. This includes major upgrades to 22 existing airports and the construction of six new ones, boosting capacity to 278 million passengers annually and ensuring 95% of the population lives within 100 kilometers of an airport. By 2050, the country aims to have 30 airports — 14 international and 15 domestic — including an additional airport southeast of Hanoi.
“Da Nang International Airport’s planned expansion is noteworthy,” said Alvin Tan, portfolio manager at MBG Capital. “It’s the largest in Vietnam’s central region with two runways and strong traffic connections. Da Nang is making a strong case as a prime tourist destination in Southeast Asia. It’s known for having two of the 50 greatest beaches in the world, according to The Telegraph. Just this year, the Michelin guide added 36 restaurants in Da Nang to its coverage. With cheap accommodations, quality food, and white sand beaches, the airport’s expansion will allow more visitors to this amazing city,” Tan added.
Other Southeast Asian nations — Cambodia, Indonesia, Malaysia, the Philippines, Singapore, and Thailand — are also focused on either constructing new airports or expanding current ones.
Cambodia
Techo International Airport (Estimated Year of Completion: 2025)
Battambang Airport
Indonesia
Nasuntara Airport (Estimated Year of Completion: 2024)
Hang Nadim International Airport (Estimated Year of Completion: 2026)
North Bali Airport
Malaysia
KLIA Upgrade (Estimated Year of Completion: 2025)
Kuantan International Airport (Estimated Year of Completion: 2026)
Penang International Airport Expansion Project (Estimated Year of Completion: 2029)
Subang Airport Upgrade (Estimated Year of Completion: 2030)
The Philippines
Modernization, Expansion of 22 Airports Funded in 2024 Budget
2nd Sangley Point International Airport (Estimated Year of Completion: 2025)
New Manila International Airport (Bulacan International Airport) (Estimated Year of Completion: 2027)
NAIA Upgrade (Estimated Year of Completion: 2028-29)
Singapore
Changi Airport Terminal 5 (Estimated Year of Completion: 2030)
Thailand
Krabi Airport Expansion (Estimated Year of Completion: 2025)
U-Tapao Aviation City (Estimated Year of Completion: 2027)
Phuket International Airport Expansion (Estimated Year of Completion: 2027)
Eastern Expansion of Suvarnabhumi Airport (Estimated Year of Completion: 2028)
Don Mueang Airport (Estimated Year of Completion: 2029)
Andaman International Airport (Estimated Year of Completion: 2032)
Chiang Mai Airport Expansion (Estimated Year of Completion: 2033)
This wave of investment is expected to greatly boost the region’s passenger and cargo capacity, a vital development as air travel in Southeast Asia is projected to soar to 653 million passengers by 2030, nearly double the 2023 figures.
In sum, the Asia-Pacific region, particularly Southeast Asia, is rapidly emerging as a global powerhouse in both tourism and aviation infrastructure. With robust investments driving the construction and expansion of airports, led by countries like Vietnam and the Philippines, and a projected surge in international visitor arrivals, the region is primed for significant growth. By 2026, Asia will not only lead the recovery in global tourism, welcoming the majority of visitors, but will also dominate in airport projects, holding 60% of new developments worldwide. This aggressive infrastructure expansion is essential, as air passenger numbers in Southeast Asia are expected to nearly double by 2030, highlighting the region’s strategic importance in shaping the future of global travel and connectivity.
For global investors, the rapid expansion of airports and aviation infrastructure across Asia, particularly in Southeast Asia, presents significant opportunities. With robust growth in air travel demand, supported by major government investments, sectors such as construction, aviation, tourism, and logistics are poised for substantial growth and returns. Investors can capitalize on this by targeting companies involved in airport development, airlines, aviation services, and related industries that are integral to the region’s transformation into a global travel and trade hub.
Southeast Asian Airports and Airport Services Companies to Watch:
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