Aviation industry should reinforce institutional capacity to absorb global volatility – Hasbi

KUALA LUMPUR: The aviation industry must reinforce its institutional capacity to absorb global macroeconomic volatility and navigate external economic uncertainties, said Deputy Transport Minister Datuk Hasbi Habibollah.

He said safety must remain the aviation industry’s top priority and a non-negotiable principle.

“Robust regulatory oversight, independent civil aviation governance, and rigorous adherence to international standards represent the ultimate foundation of passenger trust,” he said in his opening address at the Association of Asia Pacific Airlines (AAPA) 70th Assembly of Presidents (AP70).

Hasbi also called for the industry to work collaboratively to relieve industrial pressure points.

“This calls for deeper regional cooperation to expand maintenance, repair, and overhaul (MRO) capabilities, streamline cross-border regulatory certifications, harmonise air traffic management, and accelerate technical training pipelines for the next generation of aerospace professionals,” he said.

Furthermore, as the industry’s operational architectures become digitised and interconnected, he said cybersecurity and the resilience of mission-critical flight data must be treated as paramount flight safety priorities.

“Civil aviation authorities, airport operators, and airlines must establish seamless threat-sharing protocols to insulate our networks from digital disruption,” he noted.

On sustainable aviation fuel (SAF), Hasbi said the SAF ambition must be matched by commercial availability, supply security, and price bankability.

“In the Asia-Pacific, our collective focus must centre on securing certified feedstocks, building domestic refining infrastructure, establishing robust logistics chains, and narrowing the green premium against conventional jet fuel,” said Hasbi.

Meanwhile, AAPA director general Wong Hong said Asia Pacific remains the world’s largest aviation market and is projected to remain the fastest-growing region.

He said the region has continued to demonstrate impressive operational and commercial resilience, despite an increasingly challenging operating environment.

“For the first nine months of 2026, passenger demand for Asia Pacific airlines grew a commendable 1.9 per cent, with average airline load factors reaching record highs of 83 per cent.

“Our expanding middle class, rising disposable incomes, growing urbanisation and increasing appetite for international travel provide powerful structural drivers,” he added.


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