Latest news with #StefanoBaronci
Business Times
14-05-2025
- Business
- Business Times
Changi Airport set to join mega-airport league with Terminal 5
[SINGAPORE] The upcoming Terminal 5 (T5) should take Changi Airport into the ranks of Asia's 'mega airports', defined as those that handle more than 100 million passengers a year, said Stefano Baronci, director-general of Airports Council International (ACI) for the Asia-Pacific and the Middle East. He was speaking at a media roundtable organised by Changi Airport Group. Along with its connections to many cities and its status as a popular passenger transfer hub, the increase in capacity should turn Changi into a 'mega airport', he noted. Changi Airport Group estimated that T5 will bump up the airport's annual capacity to 140 million passengers, from the current 90 million. The airport's network is also estimated to grow from around 170 city links today, to more than 200 by the mid-2030s. ACI expects future mega airports to be in Asia because of the region being home to megacities – defined as those with more than 10 million people – as well as its macroeconomic development, demographics and population growth. Of the current 39 megacities in the world, 23 are in Asia. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up In 2024, ACI ranked Changi Airport as the fourth-busiest airport in the world in terms of international passenger traffic, behind Dubai, London's Heathrow and Incheon airports. In the year ended March, Singapore set a record for passenger traffic with 68.4 million passengers. But as a city, Singapore's airport still lags behind cities with multiple airports in terms of traffic. ACI data showed that there are 10 cities with mega airports or mega airport systems – referring to cities with more than one airport. Of these, the US has four – Chicago, New York, Atlanta and Dallas; Europe has three with London, Paris and Istanbul; and Asia has the rest with Beijing, Tokyo and Shanghai. Baronci expects two more Asian cities to have mega airport systems soon: Bangkok and Seoul, which handled around 93 million and 94 million passengers in 2024, respectively. He added that with regional airport infrastructure scaling up to meet the demand for predicted industry growth, it is timely that Singapore is starting work on T5 now. Noting the May 14 (Wednesday) ground-breaking ceremony, he said: 'In terms of timing, (Singapore) cannot waste more time than that if (it) wants to keep a position like the one that it is occupying now.' In the meantime, Changi Airport can stay competitive by tending to its other aspects, such as the quality of service, the cooperation between airport stakeholders, and the use of artificial intelligence or automation to improve efficiency, he said.
Straits Times
13-05-2025
- Business
- Straits Times
Changi's T5 key to Singapore's aviation hub status in the region, says regional industry chief
Singapore 'cannot waste more time if it wants to keep its position' as the world's best, said Mr Stefano Baronci, director-general of ACI Asia-Pacific and Middle East. ST PHOTO: KEVIN LIM Changi's T5 key to Singapore's aviation hub status in the region, says regional industry chief SINGAPORE – Changi Airport has to start building Terminal 5 soon if it wants to remain competitive against leading airports in the Asia-Pacific region that are scaling up to meet forecasted demand, the regional chief of a global airport body has said. Singapore 'cannot waste more time if it wants to keep its position' as the world's best, said Mr Stefano Baronci, director-general of Airports Council International (ACI) Asia-Pacific and Middle East. He was speaking to reporters at Jewel Changi Airport on May 13 in an interview on the state of the aviation industry in the region. Changi would have to maintain a high quality of service, and cooperate with the Government and other parties to promote inbound travel and expand airline connectivity, in order to keep T5 ahead of the competition, Mr Baronci, who is based in Bangkok, said. ACI World, a global airport trade association, has five regional branches. Its Asia-Pacific and Middle East arm represents 133 airport members that operate 623 airports. Construction on T5 is set to start in mid-May after delays due to the Covid-19 pandemic. Looking at some of Singapore's competition, Mr Baronci noted that Hong Kong International Airport (HKIA) is ahead of Singapore in terms of new airport infrastructure. It has added a third runway, and is expanding its existing Terminal 2 that is slated to open in 2025. By the mid-2030s, HKIA aims to serve 120 million passengers annually, up from more than 70 million now. In Bangkok, Suvarnabhumi International Airport officially opened a satellite terminal in March 2025, boosting its annual passenger capacity by 15 million to reach 60 million. It is also building a third runway and a new South Terminal, which will further boost capacity by 70 million passengers annually, to a total of 130 million. Seoul's Incheon International Airport completed an expansion in 2024 – including the construction of a fourth runway – that will allow it to handle over 100 million passengers annually. This would see these airports join the ranks of mega airports, defined as those that can handle more than 100 million passengers a year. According to ACI data from 2024, there are 10 cities with mega airports or mega airport systems – referring to cities with more than one airport. Of these, three are in Asia: Beijing, Tokyo and Shanghai. The airports in Bangkok and Seoul handled around 93 million and 94 million passengers in 2024, respectively. The cities have two airports each: Don Mueang International Airport is the other international airport in Bangkok, while Seoul's second airport is Gimpo International Airport. Changi Airport handled 67.7 million passengers in 2024. In 2024, Hong Kong International Airport handled 53.1 million passengers, while Suvarnabhumi International Airport handled approximately 62.2 million passengers. In the same year, Incheon International Airport handled a record-breaking 70.5 million international passengers. The opening of T5 in the mid-2030s will put Changi Airport in mega airport status, Mr Baronci said. The new terminal will be able to handle up to 50 million passengers a year on top of Changi Airport's current capacity of 90 million, raising the airport's annual capacity to 140 million passengers. Impact of tariffs on aviation unclear Turning to the impact that US President Donald Trump's tariffs or will have on the aviation sector, Mr Baronci said any effect will be felt by the air cargo sector first, which will 'inevitably... be impacted by tariffs'. Any impact on passenger traffic will be less clear, as 'there are several factors that impact the behaviour of the passenger', such as airfares. On May 12, China and the US agreed to slash reciprocal tariffs on each other and to commit to trade talks – a move that has perked up markets and assuaged fears of a global economic slowdown. A more immediate concern for the aviation sector than tariffs is geopolitics, which has a clear effect on aviation, Mr Baronci said, pointing to the Russia-Ukraine, Israel-Palestine, India-Pakistan conflicts. In the case of India-Pakistan, the recent hostilities '(forced) airlines to choose the northern path or the southern one', he said. 'What this means is that the duration of a flight is longer, that you have a higher congestion, and this translates into delays and into a higher cost.' Apac the 'epicentre' of aviation Mr Baronci said ACI expects future mega airports to come from Asia, due to factors such as the region having more megacities – those with more than 10 million people – as well as its macroeconomic development and population growth. Of the current 39 megacities in the world, 25 are in Asia, including Tokyo, Delhi, Shanghai, Dhaka and Manila. 'The epicentre... of aviation is Asia,' Mr Baronci said. About 30 airports in Asia-Pacific and the Middle East have committed US$240 billion (S$313.1 billion) in the next 10 years to 2023 to upgrade existing facilities and building new ones, according to ACI. 'In this region, a new cycle of investment has started,' Mr Baronci said. 'An important message is that uncertainty should not be a reason for for retreat, but rather a call for building, for diversification and innovation.' Vanessa Paige Chelvan is a correspondent at The Straits Times. She writes about all things transport and pens the occasional commentary. Join ST's WhatsApp Channel and get the latest news and must-reads.
Business Times
13-05-2025
- Business
- Business Times
With Terminal 5, Changi will join Asia's ‘mega airport' trend: aviation organisation chief
[SINGAPORE] The upcoming Terminal 5 (T5) should take Changi Airport into the ranks of Asia's 'mega airports', defined as those that handle more than 100 million passengers a year, said Stefano Baronci, director-general of Airports Council International (ACI) for Asia-Pacific and Middle East. Changi Airport Group estimated that T5 will increase the airport's annual capacity to 140 million passengers, from the current 90 million. The airport's network is also estimated to grow from around 170 city links today, to more than 200 city links by the mid-2030s. Along with its many connections and its status as a popular passenger transfer hub, this increase in capacity should turn Changi into a 'mega airport', said Baronci. The global airport body expects future mega airports to come from Asia, due to factors such as the region having more megacities – those with more than 10 million people – as well as its macroeconomic development, demographics and population growth. Of the current 39 megacities in the world, 23 are in Asia. In 2024, ACI ranked Singapore the fourth-busiest international airport in the world, behind Dubai, London and Incheon airports. In the year ended March, Singapore set a record for passenger traffic with 68.4 million passengers. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up But as a city, Singapore still falls behind those with multiple airports in terms of traffic. ACI data showed that there are 10 cities with mega airports or mega airport systems – referring to cities with more than one airport. Of these, the US has four – Chicago, New York, Atlanta and Dallas; Europe has three with London, Paris and Istanbul; and Asia has the rest with Beijing, Tokyo and Shanghai. Baronci expects two more Asian cities to have mega airport systems soon: Bangkok and Seoul, which handled around 93 million and 94 million passengers in 2024, respectively. He added that with regional airport infrastructure scaling up to meet the demand for predicted industry growth, it is timely that Singapore is starting work on T5 now. Noting that the ground-breaking ceremony would be held on May 14, he said: 'In terms of timing, (Singapore) cannot waste more time than that if (it) wants to keep a position like the one that it is occupying now.' In the meantime, Changi Airport can stay competitive by looking at other aspects, such as the quality of service, improving the cooperation between airport stakeholders and using artificial intelligence or automation to improve efficiency, he added.
Business Times
13-05-2025
- Business
- Business Times
India-Pakistan conflict to hurt travel more than tariffs: regional airport association chief
[SINGAPORE] Tensions between India and Pakistan are expected to hurt air travel more than US tariffs, though falling jet fuel prices could aid airlines, said Stefano Baronci, regional head of a global association for airports. Beyond 2025, the outlook for the aviation industry in the Asia-Pacific and the Middle East is positive, said the director general of Airports Council International (ACI) Asia-Pacific and Middle East. This is as the region is expected to lead the globe in air travel growth, while its airports are due to spend US$240 billion on infrastructure. 'Asia is and will continue to be strong in terms of growth... (not) only in the present, but even looking at the medium and longer term,' he said at a media roundtable held in Singapore by Changi Airport Group. On the Trump administration's on-again-off-again tariffs, Baronci said these could have long-term effects on air travel, but the immediate effects are much less clear. As air travel is a service, not a good, it is not directly affected by the tariffs. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up Rather, the tariff effects 'depend on discretionary spending, which may be impacted by risk of inflation eating into consumer spending power and shaking traveller confidence', he said, adding that this has yet to materialise. On May 12, the US and China paused their trade war for 90 days, with reduced tariff levels. While this is of course preferable to the higher levels introduced in April, Baronci noted that uncertainty remains. Risks and costs Rather than the tariffs, two major factors that will directly influence air travel in 2025 – but in opposing ways – are India-Pakistan tensions and lower fuel prices. After missile strikes by India on Pakistan in early May, both countries have closed their airspace multiple times in the past weeks. Major airlines have avoided flying over Pakistani airspace, taking longer diversions across the Arabian Sea and Central Asia. This has meant longer flights and higher congestion, translating into delays and higher costs, said Baronci. Unlike tariffs, these effects can be 'tangibly estimated', he added, citing media reports that Air India faces a US$600 million hit from airspace closures. A truce brokered on May 10 meant Pakistan airspace has reopened, but media reports said normal flight operations would not recommence immediately as aircraft and equipment had been moved to safer areas. In contrast, airlines could benefit from a fall in jet fuel prices, which could mean lower airfares and higher demand for travel, said Baronci. For the week ended May 9, jet fuel was US$79.73 a barrel, some 19.5 per cent less than the preceding year's average, said the International Air Transport Association. Outlook positive For 2025 and beyond, the region's air travel outlook is still bullish, said Baronci, citing ACI data on its growth. Asia-Pacific's forecast compound annual growth rate for air passenger traffic is 4.7 per cent for 2024 to 2033, the second-highest behind the Middle East at 4.9 per cent, compared with 3.8 per cent for the entire world. An ACI survey of 30 major airports across the two regions showed an expected capital expenditure of US$240 billion in aviation infrastructure in the next decade. Of this, US$136 billion will be invested in upgrading existing airports, with US$104 billion more for new developments. This will result in the addition of around 1.2 billion in annual passenger capacity and 71 million tonnes of annual cargo capacity.
Zawya
11-03-2025
- Business
- Zawya
35 airports from Asia-Pacific and Middle East win 68 ASQ Awards for Service Excellence
Hong Kong SAR: Airports in Asia-Pacific and the Middle East regions are setting new benchmarks in passenger experience. 35 airports out of a total 95 airports globally were recognised in the prestigious 2024 Airport Service Quality (ASQ) Awards by Airports Council International (ACI). Collectively, airports in the region won 68 awards, across categories. The awards highlight the region's commitment to delivering world-class airport experiences amid rapid passenger growth. The ASQ Awards, announced in partnership with the leading travel technology company, Amadeus, stands out as the preeminent airport customer experience measurement and benchmarking programme globally. The ASQ Awards are based on the aviation industry's most comprehensive and trusted global measurement program for airport experience. This unique program gathers real-time feedback from travelers through live surveys at airports worldwide. Its rigorous methodology ensures accurate representation of a diverse range of passenger experiences, making it the only survey that enables fair airport comparisons. This year, 10 airports from Indonesia won awards across categories, while 8 airports China and 7 from India were recognised for service excellence. Other awards were assigned to airports in South Korea, Singapore, Malaysia and Philippines in the Middle East, 6 airports were recognised, including two from Oman and one from KSA, Jordan, Bahrain and Abu Dhabi. These awards reflect the dedication of airports to enhance customer experience through smart technology, service innovation, and passenger-centric design. Stefano Baronci, Director General, ACI Asia-Pacific & Middle East, said: 'As air traffic in Asia-Pacific and Middle East combined is expected to triple from 3.9 billion to almost 11 billion passengers over the next two decades, ensuring a seamless and enjoyable journey is paramount. The fact that 36% of the total awards have been assigned to airports on our Region is testament that airports in Asia-Pacific and Middle East are turning challenges into opportunities by embracing digital transformation, investing in infrastructure, and prioritising service excellence. Congratulations to all the winning airports.' Read full list of winner airports here. -Ends- Media Contact For further information, please contact: ACI Asia-Pacific & Middle East Sunil Subbaiah Head, Communications & Brand E: sunil@ About ACI Asia-Pacific & Middle East (ACI APAC & MID) ACI Asia-Pacific & Middle East (ACI APAC & MID) serves as the voice of airports. It represents airport members, operating over 600 airports across Asia-Pacific and Middle East. ACI APAC & MID is head-quartered in Hong Kong and has a Middle East office in Riyadh (Kingdom of Saudi Arabia). ACI APAC & MID represents the collective interests of airports to promote professional excellence in airport management and operations. ACI APAC & MID's mission is to advocate for policies and provide services that strengthen its members' ability to serve their passengers, employees and stakeholders. According to the latest Economic Impact assessment, Air transport supported 46 million jobs and contributed $1.18 trillion in GDP in both Asia-Pacific and Middle East regions. Over the next two decades, the aviation sector's direct contribution to the Asia-Pacific and Middle East's GDP is estimated to grow annually at 5.1% and 4.5%, respectively.
