Air Astana eyes biz expansion in China market

China's push for high-standard opening-up and easier cross-border travel is creating fresh opportunities for international airlines seeking a larger share of the world's second-largest travel market.

For Kazakhstan's flag carrier Air Astana, those policies are translating into a rapid expansion in China, highlighted by the launch of a direct Almaty-Shanghai route in late March, after nearly two decades of modest growth in the market.

In an interview with China Daily, Air Astana Group CEO Ibrahim Canliel said the bilateral visa-free regime between China and Kazakhstan has significantly boosted travel demand and business exchanges.

"The mutual visa-free policy introduced in 2023 has been an absolute booster. The group carried more than 250,000 passengers between Kazakhstan and China in 2025, a 96 percent increase year-on-year," Canliel said. "This momentum has continued into the first quarter of this year."

The surge follows a reciprocal visa-free agreement effective since November 2023, allowing citizens of both countries to travel for short visits without a visa, with a maximum allowable stay of 30 days per trip.

Kazakhstan's Ministry of Tourism and Sports said the Central Asian country received 15.7 million foreign leisure tourists in 2025, maintaining strong growth in recent years. Chinese visitors ranked fourth after Uzbekistan, Kyrgyzstan and Russia. Chinese tourist arrivals reached about 968,800 in 2025, a nearly 50 percent year-on-year increase from 655,000 in 2024.

While Air Astana has served China for more than two decades, its network remained relatively small for much of that time. The airline launched its first Almaty-Beijing service in 2002, followed by a route to Urumqi in the Xinjiang Uygur autonomous region, mainly serving business travelers and regional traffic.

That pattern has changed sharply in the past two years as travel demand rebounded and bilateral ties deepened.

Since late 2024, Air Astana has reopened and launched routes to Urumqi; Sanya, Hainan province; Guangzhou, Guangdong province; and Yining, Xinjiang, followed by Shanghai in 2026, marking the airline's fastest expansion in China to date.

With the addition of Shanghai, Air Astana and its subsidiary FlyArystan now operate 32 weekly flights between Kazakhstan and six Chinese cities, strengthening links between China and destinations across Central Asia, the Caucasus and Europe.

Canliel said growing economic links between China and Central Asia are providing structural support for air travel demand.

According to China's customs statistics, trade in goods between China and Central Asia reached $106.3 billion in 2025, a year-on-year increase of 12 percent. Marking a fifth consecutive year of growth, China also became the region's largest trading partner for the first time.

"These economic links create steady demand for business travel, student exchanges and cross-border investment, fueling air travel demand. Kazakhstan lies at the heart of Eurasia, a natural transit hub between Asia and Europe. Our routes connect Chinese travelers to Kazakhstan, Central Asia, the Caucasus and Europe," he said, referring to the Belt and Road Initiative first proposed in Astana in 2013.

The CEO also pointed to geopolitical uncertainties in the Middle East as a factor boosting Central Asia's role as a stable transit corridor.

"We have seen a significant surge in transit passengers from Southeast Asia, North Asia and China traveling via Kazakhstan to Europe and Turkiye," he said.

"Escalating geopolitical tensions and airspace restrictions in the Middle East are, at least for now, reshaping the Europe-Asia aviation network," said Zoey Wang, director of global infrastructure ratings at Fitch Ratings.

"Key Gulf transit hubs face disruptions, with traffic increasingly rerouted to Central Asia, Singapore and South Asia."

Wang said whether the shift becomes permanent will depend on how long regional conflicts persist.

"A prolonged crisis could cement a new multi-hub structure, while early de-escalation may allow Gulf airports to regain dominance," she said. "The aviation network may evolve from a Gulf-dominated model toward a broader dual-hub structure that elevates Central Asia and other emerging transit hubs."

For Canliel, the Shanghai launch also marked his first overseas engagement after taking office on April 1. A company veteran since 2003 and former chief financial officer, he helped steer the airline's dual listing in Kazakhstan and the United Kingdom in 2024.

Choosing China as his first international visit destination after becoming CEO reflects the market's strategic importance for the airline's next stage of growth. The carrier plans to further expand its China network, including the launch of a new Astana-Guangzhou route in June.

"This is just the tip of the iceberg. We are only at the beginning," Canliel said.

The airline is also investing in fleet expansion and digitalization, including artificial intelligence-powered operational optimization and tailored in-flight services for Chinese passengers, as it seeks to capture rising demand for travel between China, Central Asia and Europe.