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Business and Operations Review 38 CHANGI AIRPORT GROUP ANNUAL REPORT 2018/19 39 Global Connectivity CONNECTING SINGAPORE TO EUROPE Eastern/Central Western Europe Europe Austria OVER 380 CITIES IN ABOUT Albania Belgium* Azerbaijan* Denmark 100 COUNTRIES AND Bulgaria Estonia Croatia Faroe Islands Czech Republic Finland TERRITORIES WORLDWIDE Hungary France Poland Germany Romania Great Britain (UK) Russia Greece Serbia Ireland Slovenia Italy Turkey Lithuania Ukraine Luxembourg* Norway NORTH Portugal AMERICA Spain 40 Canada Sweden Mexico Switzerland United States The Netherlands *freighter only CHANGI AIRPORT GROUP 52 110 CITY LINKS CITY LINKS ASIA Central Asia South Asia Turkmenistan* Bangladesh Uzbekistan Bhutan AFRICA India Eastern South Africa Middle East Maldives Africa Botswana Bahrain Nepal Burundi Congo Egypt Sri Lanka SOUTHWEST Ethiopia Mozambique Qatar PACIFIC Kenya South Africa Saudi Arabia Southeast Asia Australia Mauritius United Arab Emirates Brunei Darussalam Cook Islands Rwanda West Africa Cambodia Fiji Tanzania Burkina Faso Northeast Asia Indonesia New Zealand Uganda Ghana China Laos Norfolk Island Ivory Coast Hong Kong, SAR Malaysia Papua New Guinea North Africa Niger Japan Myanmar Samoa Chad Nigeria Macau Philippines Solomon Islands Seychelles Republic of Congo South Korea Thailand Tonga 41 Zimbabwe Taiwan Vietnam Vanuatu *freighter only ANNUAL REPORT 2018/19 28 127 67 CITY LINKS CITY LINKS CITY LINKS Air Traffic Statistics (in millions) FY2018/19 66.3 PASSENGER FY2017/18 63.0 MOVEMENT FY2016/17 59.4 66.3 mil FY2015/16 56.7 FY2014/15 54.0 (in millions) AIRFREIGHT MOVEMENT FY2018/19 2.14 (Tonnes of Airfreight) FY2017/18 2.14 2.14 mil tonnes FY2016/17 2.0 42 FY2015/16 1.87 FY2014/15 1.85 (in thousands) FY2018/19 386 FY2017/18 377 CHANGI AIRPORT GROUP COMMERCIAL AIRCRAFT MOVEMENT FY2016/17 362 386,000 FY2015/16 351 FY2014/15 339 @changiairport on Instagram 43 ANNUAL REPORT 2018/19 253k FOLLOWERS 377,429 Connecting The World MAKING THE WORLD SMALLER t was another year of healthy growth for the aviation industry, on the back of reasonable oil prices and 44 Isustainable profits for the global airline industry. Changi Airport registered a strong performance, handling a record 66.3 million passenger movements in FY2018/19, up 5.2% over the last year. Aircraft movements rose 2.3% to reach 386,000 flights. Traffic to all regions saw growth, with double-digit increases for CHANGI AIRPORT GROUP the Americas (+22%), Europe (+16%) and Africa (+13%). Among Changi’s top five markets (Australia, China, Indonesia, Malaysia and Thailand), China and Australia both moved up a notch to take the second and fourth spot respectively, compared to the same period last year. The top five routes by passenger movements were Kuala Lumpur, Bangkok, Jakarta, Hong Kong and Manila. During the year, four new airlines – Guangxi Beibu Gulf Airlines, Juneyao Airlines, LOT Polish Airlines and Shandong Airlines joined Changi’s family of over 100 airlines. Nine new city links were also established to China (Nanchang, Xuzhou), Germany (Berlin), India (Guwahati, Pune*, Vijayawada*), Indonesia (Belitung*), Thailand (Chiang Rai) and Poland (Warsaw). * This service has since ceased operations. and encouraged participants to pick up the Polish language in an interactive manner, featuring Singapore World Beatbox champion Dharni Ng. With the addition of the Berlin and Warsaw services, Changi Airport is now connected to 19 cities in Europe. As a result, weekly seat capacity to Europe increased by 15% from the previous year. On the ultra-long-haul front, Singapore Airlines launched the world’s longest flight to New York (Newark Liberty International Airport) in October 2018 followed by a non-stop service to Los Angeles in November. United Airlines also added a second daily non-stop service to San Francisco. Today, Changi Airport has 41 weekly non-stop services between Singapore and United States, a significant increase from none just two years ago. 45 STRENGTHENING CHANGI’S ROLE IN THE REGION Asia continues to be a key driver of growth for Changi Airport. In FY2018/19, 6.9 million passenger movements (+8%) were registered between Singapore and China, and 4.9 million passenger movements (+11%) between Singapore and India. Total passenger traffic from China and India ANNUAL REPORT 2018/19 accounted for close to a fifth of total Above: DEEPENING LONG-HAUL passenger traffic at Changi Airport. Singapore is now directly linked to CONNECTIONS Poland with LOT Singapore’s connectivity with Europe With new links to Guwahati, Nanchang Polish Airlines’ was strengthened, with Scoot and Xuzhou, Changi Airport is now non-stop service to Warsaw. launching four weekly services connected to 37 Chinese and 15 to Berlin, and LOT Polish Airlines Indian cities, a new record high. In Left: Jetstar Asia is the commencing non-stop services to particular, the Singapore-Guwahati sole carrier operating Warsaw. With LOT Polish Airlines’ service was a significant milestone as direct services Guwahati is Changi Airport’s first air between Singapore new service, Singapore is now directly and Xuzhou. connected to Poland. From its base in link to Northeast India. The new service Warsaw, LOT Polish Airlines provides connects Singapore directly to the state connectivity to more than 40 cities in of Assam. Central and Eastern Europe, expanding the range of onward destinations During the year, CAG embarked on available to passengers from Singapore. a new initiative to work with travel agents to offer charter flight services As part of ongoing efforts to promote to new destinations in China, such as the Singapore-Warsaw route, a to Guiyang, Xuzhou and Zunyi. These marketing campaign ‘Polish Your charter services are key to cultivating Polish’ was rolled out in March 2019, demand to new cities and paving the targeting Singaporeans to increase their way for scheduled services. Charter awareness of LOT Polish Airlines’ service services to other Chinese cities such and Poland as a travel destination. The as Hefei, Hohhot and Yichang are also campaign took on a gamified approach being explored. GROWING TRAVEL DEMAND For its efforts to grow and market CAG continues to enhance WITH OUR PARTNERS the Singapore air hub, Changi Singapore’s pharmaceutical handling CAG made inroads to grow Airport was crowned the winner capabilities with the Pharma@ the inbound fly-cruise sector in in the ‘Over 50 Million Passengers’ Changi air cargo community. FY2018/19. CAG, Costa Cruises category at the World Routes These include dialogue sessions on and Singapore Tourism Board Marketing Awards 2018. best practices in pharmaceutical entered into a four-year tripartite The annual awards recognise transportation and feedback review partnership which leverages Costa’s excellence in air hub marketing. sessions at the annual Pharma global presence, Singapore’s cruise Shipper forum organised by CAG. hub status and Changi Airport’s CHANGI AS A CARGO HUB CAG is also a Strategic Member air hub connectivity to enhance In FY2018/19, Changi Airport of Pharma.Aero, which facilitates Southeast Asia’s appeal as a cruise handled 2.14 million tonnes of cross-industry collaboration destination. Joint-marketing airfreight throughput. Against among pharma shippers, cargo campaigns and attractive packages the backdrop of the slowdown communities, airport operators and rolled out in various markets in world trade and a challenging other air cargo industry stakeholders in Europe and Americas are global air freight market, import, towards the achievement of expected to bring in over 112,000 export and transshipment flows at excellence in reliable end-to-end air international fly-cruise visitors to transportation for pharmaceutical Changi Airport remained flat for Singapore over the next four years. shipments. the year. In December 2018, Changi Airports On the e-commerce front, CAG Changi Airport serves 24 cargo International (CAI) was awarded the has been collaborating with various airlines operating over 320 contract to operate Fukuoka Airport agencies such as the Economic weekly scheduled freighter flights, and CAI took over the operations Development Board, Enterprise linking Singapore to 48 cities. 46 at the airport in April 2019. With Singapore, and seaport operator this new development, Fukuoka In October 2018, FedEx Express PSA to anchor cross-border and International Airport embarked on introduced eight weekly flights intermodal e-commerce cargo initiatives to grow its catchment between Singapore and Sydney, flows. traffic with strategic partners, bringing FedEx Express’ network starting with a collaborative in Singapore to 50 weekly flights. Changi Airport was awarded the partnership agreement between The added capacity represents an ‘Airport of the Year’ at the World CAG, the airport and Singapore incremental growth of more than Air Cargo Awards 2018 for the first Airlines. Joint marketing activities 60% to Changi’s freighter capacity time, as well as ‘Best Green Airport’ by the three parties aim to grow on the Singapore-Australia route, and ‘Best Airport – Asia (over 1 CHANGI AIRPORT GROUP travel between the Kyushu region strengthening Singapore as a million tonnes)’ at the Asian Freight to Singapore, Southeast Asia and gateway to the Southwest Pacific Logistics & Supply Chain Awards beyond. region for cargo flows. 2018. Left: FedEx Express expanded its flight network in Singapore with the introduction of eight weekly flights between Singapore and Sydney. Open mind, successful partnerships As the region’s premier gateway, growing connectivity to cities around the world is key. Changi Airport engages with airlines to expand their networks here, and works with like-minded partners to drive passenger demand through Changi. These responsibilities lie with staff members like Alicia Chen, Senior Manager with the Airline Development Team in CAG’s Air Hub Development Cluster. For her, the challenge lies in “aligning the stars” to realise a route, based on passenger demand and airlines’ interests, and managing surprises and the unexpected. One notable occurrence was in 2012. One of her airline accounts had unexpectedly decided to downsize its operations at Changi as part of network restructuring.
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