Capital A To Expand Into Saudi Arabia With New Aviation And Logistics Ventures
Beyond expanding its airline services, Capital A plans to introduce its entire business ecosystem to Saudi Arabia, including Teleport, its growing logistics arm, Asia Digital Engineering (ADE), which provides aircraft maintenance services, and AirAsia MOVE, a digital travel platform offering end-to-end travel booking solutions.
The announcement follows high-level discussions between Capital A's leadership team, including CEO Tony Fernandes and Tassapon Bijleveld, CEO of AirAsia Thailand, and Saudi officials from the Ministry of Investment, General Authority of Civil Aviation (GACA), and the Ministry of Transport. These discussions focused on potential strategic partnerships in airline connectivity, Red Sea tourism development, and logistics and aircraft engineering services.
Tony Fernandes commented on the opportunities in Saudi Arabia, saying, 'The cultural shift, the transformation in people's lives, and the scale of ambition is truly mind-blowing. The energy is infectious, and we're excited to grow with our brothers and sisters in Saudi Arabia.'
He also highlighted the potential of the new Riyadh route, forecasting it to serve nearly one million two-way passengers by 2026 and over seven million by 2030, reflecting strong demand for connectivity between ASEAN and the Gulf region.
As part of its logistics focus, Teleport plans to collaborate with Saudi logistics hubs and free trade zones to establish efficient cargo corridors, aiming to support Saudi Arabia's Vision 2030 goals of becoming a global logistics hub. AirAsia's extensive belly cargo capacity will support this effort, helping to position the Kingdom as a transshipment point for goods moving between Asia, Europe, and Africa.
Additionally, ADE aims to support the Kingdom's rapidly growing aircraft maintenance sector by potentially setting up line maintenance facilities at key airports, training local talent in aviation engineering, and sharing best practices in maintenance, repair, and overhaul (MRO) services.
Saudi Arabia has now become a top priority market for Capital A, following its successful expansion into India and China. The Kingdom's Vision 2030 is transforming it into a global tourism and logistics hub, offering significant opportunities for Capital A's multi-vertical business model to contribute to this growth.
Further updates on route launches, operational timelines, and ecosystem collaborations are expected to be announced in the near future. Related
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Daily Express
20 hours ago
- Daily Express
AirAsia increases Sabah's connectivity with Japan via new Taipei to Fukuoka route
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The Sun
2 days ago
- The Sun
AirAsia X again named Best International Airline of the Year at Australian Aviation Awards
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Borneo Post
3 days ago
- Borneo Post
AirAsia's KK–Fukuoka route via Taipei boosts Sabah's tourism
Captain Fareh, Chen, Syaliza, Tagawa and other invited guests at the launching ceremony at Fukuoka Airport. FUKUOKA (Aug 17): AirAsia Malaysia has expanded its footprint into Japan with the launch of its inaugural fifth freedom route from Kota Kinabalu to Fukuoka via Taipei, further cementing Sabah's position as a key regional hub. The maiden flight AK1510 departed Kota Kinabalu International Airport at 7.40am on August 15 and landed at Fukuoka International Airport at 3.15pm local time. The Taipei–Fukuoka sector recorded a full 100 per cent load factor, while the return flight registered more than 80 per cent, reflecting strong demand for the new service. Passengers travelling from Taipei to Fukuoka were also given a warm send-off by AirAsia Malaysia CEO, Datuk Captain Fareh Mazputra, during the stopover in Taipei, together with members of the cabin crew. 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On the potential of the Muslim-friendly travel market, Captain Fareh said the connectivity offers a new option for travelers in southern Japan, particularly from Kyushu, where AirAsia is now the only airline directly linking to Kota Kinabalu. 'I believe we will work closely with Tourism Malaysia to expand the potential of attracting more Muslim travelers, similar to what Taiwan has successfully done. With Sabah's ready halal food options and reputation as a Muslim-friendly destination, we are confident this market can grow further,' he said. Captain Fareh expressed optimism that the new Fukuoka–Taipei–Kota Kinabalu service will not only enhance Sabah's visibility in Japan but also position the state as a gateway to ASEAN. 'We are looking forward to the success of this route, not just in terms of tourism, but also in contributing to economic development,' he said. Tourism Malaysia Director in Japan, Syaliza Abd. Aziz, described the new route as a timely development that could directly benefit Sabah's tourism industry. 'This is such a good move for us to have a direct flight from Kota Kinabalu to Fukuoka,' she said. 'Although it is an existing route linked from Taipei to Kota Kinabalu, this expansion creates more promotional opportunities between Taiwan, Malaysia and Japan. With this new flight, we believe more Japanese tourists will visit Sabah directly, especially as we are celebrating Visit Malaysia Year next year,' she opined. On the growing Muslim travel market, Syaliza noted that Japan has been proactive in providing facilities to cater for Muslim-friendly tourism, including halal food options in major cities such as Tokyo. 'For Japanese visitors to Malaysia, our culture, heritage and lifestyle are already strong attractions. But when it comes to Muslim travel, Japan itself has improved tremendously, making it easier for Muslim travelers to feel comfortable here,' she explained. She added that the increasing presence of Middle Eastern visitors in Japan shows how the country is becoming more adventurous in embracing Muslim-friendly tourism. Syaliza emphasised that Japan's readiness for Muslim travel complements Malaysia's global standing as one of the top Muslim-friendly destinations, creating opportunities for closer cooperation in tourism promotion. 'With this new connectivity, we look forward to seeing more Japanese tourists flying directly into Sabah. This is a strong platform to attract more visitors to Malaysia and especially to our state,' she said. The significance of the new link was also acknowledged by officials in Japan and Taiwan. Bruce Chen, Consul General of the Taipei Economic and Cultural Office in Fukuoka, congratulated AirAsia on the achievement. 'This new service enhances convenience between Japan and Taiwan through increased flights on the Fukuoka–Taipei sector, while also offering excellent daily connectivity between East Asia and Southeast Asia. It will promote tourism, business and cultural exchange across the three cities and their regions. I hope this route will contribute to stronger people-to-people ties and international cooperation among our countries,' he said. Shinji Tagawa, Representative Director, President & CEO of Fukuoka International Airport Co. Ltd., said the airport was honoured to be chosen as AirAsia Malaysia's first destination in Japan. 'We are continuously enhancing our capabilities as an international hub through terminal expansion and a second runway. This new route will provide greater options not only for travellers in Fukuoka and Kyushu, but also strengthen links in tourism, business, culture, education and more,' he said. AirAsia Malaysia will operate daily flights on the new route using Airbus A320 family aircraft, including the A320neo, with a seating capacity of 186. Promotional all-in one-way fares start from RM679 from Kota Kinabalu to Fukuoka, TWD2,990 from Taipei to Fukuoka, JPY23,990 for Fukuoka to Kota Kinabalu, and JPY15,900 for the Fukuoka–Taipei sector. The introductory fares are available for booking from August 16 to 18 for travel between August 16 and December 15, 2025, via and the AirAsia MOVE app.
