The Association of Southeast Asian Nations (Asean) open-skies agreement, to be implemented by 2015, will open up big business in the region for aircraft OEMs, according to Dinesh Keskar, Boeing Commercial Airplanes senior v-p of sales Asia-Pacific and India. The agreement is intended to boost connectivity and increase traffic growth by granting open market access to all international airports in Southeast Asia to airlines of the 10 Asean member states.
Asia has a 40 percent market share of the airline travel market and with booming economies, GDP growing, high disposable incomes and no recession, potential in Indonesia, India and China is big, Keskar said.
As budget carriers make their mark in Asia, large carriers such as Lion Air and AirAsia are making the presence of narrowbodies apparent. “The opening of routes and the pace of Asean nations adopting the open-skies policy will define the number of aircraft. We see great promise in the region,” said Keskar.