LCC International Passenger Numbers Surpass Two Major Airlines for the First Time Last Year

International Passengers Using LCC Exceed FSC by 1 Million
First Time Since LCC Launch in 2003
Increased Demand Mainly on Medium- and Short-Haul Routes
Full Efforts Including New Route Launches and Introduction of Medium- to Large-Sized Aircraft

The number of passengers traveling overseas using low-cost carriers (LCCs) is expected to surpass the number of international passengers using full-service carriers (FSCs) for the first time on an annual basis.

According to aviation statistics from the Ministry of Land, Infrastructure and Transport on the 2nd, the total number of international passengers on nine domestic LCCs from January to November last year was 21,692,604, which is about 1.06 million more than the 20,633,499 passengers on FSCs Korean Air and Asiana Airlines during the same period. Since a similar trend has continued in December, it is highly likely that the final year-end tally will also show LCC international passengers surpassing FSCs. If LCC international passengers exceed FSCs in 2023, it will be the first time in 20 years since the launch of LCCs in 2003.

This shows a significant difference compared to 2019, just before COVID-19. At that time, the number of FSC international passengers was 33,851,241, far ahead of the LCC's 26,640,366. The gap of 7.21 million was reduced to 3.49 million in 2022. The situation changed significantly last year, with LCC international passengers exceeding FSCs by nearly 950,000 in the first quarter alone. In July, the peak vacation season, the gap widened by about 116,000. Among all international passengers including foreign airlines, LCCs accounted for 35.3%, nearly 2% ahead of FSCs at 33.6%.

The surge in LCC international passengers is attributed to the rapid recovery of travel demand centered on medium- and short-distance routes such as Southeast Asia and Japan. The recovery rate of travel demand to Japan reached 98% compared to 2019. For FSCs, the recovery of major medium- and long-distance international routes such as the Americas and Europe was slower.

With LCCs showing strength, competition is expected to intensify this year. Jeju Air launched a new route to Dalat, Vietnam last month and is increasing flights to Oita and Hiroshima, Japan this month. Jin Air also launched a new route to Phu Quoc, Vietnam, operating once daily. T’way Air, which overtook Jin Air to become the second largest in the industry, is targeting medium- and long-distance routes such as Sydney, Australia, and Singapore by introducing medium- to large-sized aircraft.

[Image source=Yonhap News]

This content was produced with the assistance of AI translation services.