MANILA, Philippines — Low-cost carrier AirAsia Philippines is expanding flight operations across its domestic and international routes to prepare for the upcoming peak holiday season, despite forecasting softer overall passenger volume for the year due to selective consumer spending.
AirAsia Philippines President and General Manager Anna Victoria Lu announced that the airline will add flight frequencies in the fourth quarter to meet the anticipated surge in passenger traffic over Christmas and the holidays, serving travelers heading to home provinces and popular vacation spots.
The budget airline currently serves 17 destinations across the Philippines and neighboring markets.
“In the fourth quarter, we’re confident of an increase in the load factor, which is why we’re increasing also the frequency of our flights,” Lu said on the sidelines of the Association of Southeast Asian Nations (ASEAN)-India Business Forum on Wednesday, September 23.
The airline is depending on fourth-quarter operations to bolster its performance, as annual passenger totals remain on track to finish below previous levels.
Official Civil Aeronautics Board (CAB) records indicate AirAsia Philippines handled 5.63 million passengers in 2025, an 11% decline from the 6.33 million passengers logged in 2024.
During the first half of 2026, the carrier transported roughly 2.9 million passengers, driven primarily by domestic demand.
Lu noted an evolution in traveler habits, with customers demonstrating far more intent and discretion when securing flights, even during discount campaigns.
“Before, when you launch a seat sale, they just buy regardless of whether or not they plan to fly. Now, they will only buy if they’re sure that they will fly for that period,” she explained.
Higher fare structures have also slowed leisure travel across the sector as airlines adjust prices to cover sustained jet fuel costs, which have remained elevated amid lingering tensions in the Middle East. To control operating costs, the carrier has scaled back select flights while directing resources toward higher-demand routes.
Despite market pressures, Lu expressed optimism regarding the long-term potential of the domestic aviation sector, highlighting air transport as a vital link across the archipelago.
“We know we’re going to recover. As soon as the war ends, we know we’re going to recover,” she said.
Looking ahead, AirAsia Philippines is planning fleet enhancements, with new Airbus A220 aircraft scheduled to arrive as early as next year to support expanded medium-haul services.
“The planes will be able to travel longer, so we’re looking forward to that because it will open up a lot of new routes for us,” Lu said.
Regarding recent comments by AirAsia co-founder Tony Fernandes about expanding local operations with support from a new investor, Lu declined to comment on the matter.