Singapore Airlines logs modest passenger growth as cargo surges on tech demand

Singapore Airlines' passenger division showed steady but modest growth in September, with traffic climbing 2.8 per cent year-on-year. The airline's overall capacity grew at a faster pace of 3.6 per cent during the same period, indicating the carrier continued expanding its network and fleet deployment despite softening demand on certain routes.

The more pronounced expansion in capacity relative to passenger growth suggests SIA may be positioning itself ahead of anticipated demand increases or adjusting its network strategy. Analysts have noted that airlines across the region face mixed travel demand signals, with leisure and business segments showing varied performance.

A brighter spot emerged in SIA's cargo operations, which benefited substantially from elevated shipment volumes of semiconductors and artificial intelligence-related equipment. The surge reflects ongoing global supply chain dynamics centred on the tech sector, where companies remain eager to secure semiconductor supplies and AI infrastructure components amid continued geopolitical considerations affecting logistics routes.

The Singapore flag carrier, Asia's fourth-largest airline by passenger volume, has maintained its focus on balancing passenger and cargo revenue streams as it navigates post-pandemic normalisation and evolving market conditions across its regional and long-haul networks.