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IATA says new airlines entering the market dipped to near 26-year low last year
February 10th 2026
The number of new airlines commencing operations fell for a fourth straight year to 28 in 2025. Read More » The International Air Transport Association (IATA) said the figure was the lowest single-year total since 1999. The airline lobby group said the decline in new airlines entrants reflected economic, supply‑chain and geopolitical hurdles, such as shortage of aircraft, engines and spare parts, as well as stricter regulatory and certification requirements. "These factors collectively shape an environment where strong demand does not automatically translate into favourable conditions for new airline creation," IATA said. "On the other hand, the number of airlines ceasing operations stabilised at 28 in 2025, exactly matching the number of new entrants. This equilibrium suggests that, while the industry still operates with razor‑thin margins, it has entered a period of relative stability compared with the volatility of the early 2020s."
