Commercial Aviation
Air Serbia Expands Fleet and Routes to Strengthen Regional Hub by 2026
Air Serbia plans fleet growth and new routes through 2026, boosting transfer traffic and posting record profits without state subsidies.
Air Serbia’s latest fleet expansion and route upgrade plan marks a significant chapter in the carrier’s evolution. As Serbia’s national airline, Air Serbia has steadily transitioned from a regional operator to a growing European player, leveraging a blend of fleet modernization, network expansion, and operational efficiency. The current strategy, which includes the addition of five new aircraft and selective route enhancements, is designed to meet rising passenger demand, improve profitability, and position Belgrade as a key aviation hub in southeastern Europe.
This expansion comes at a time of strong financial performance and signals Air Serbia’s readiness to compete more robustly in the regional and international markets. The carrier’s focus on sustainable growth, supported by a clear five-year strategic plan, demonstrates a commitment to long-term success without reliance on direct state subsidies. By modernizing its fleet and optimizing its route network, Air Serbia aims to surpass previous passenger records and strengthen its role as a transfer hub for the Balkans.
The following analysis explores the historical context, details of the fleet and route strategy, financial performance, and the broader implications of Air Serbia’s current growth trajectory, drawing on public data and expert commentary.
Air Serbia’s transformation began in earnest with its 2013 rebranding, an effort that followed years of financial challenges and legacy debt inherited from its predecessor, JAT Yugoslav Airlines. The partnership with Etihad Airways in 2013 provided the capital and management expertise needed to overhaul operations and set the airline on a path toward commercial sustainability.[18]
A notable milestone was reached in 2023 when Air Serbia ceased to rely on direct state subsidies, a shift underscored by the Serbian government’s clarification that previous support was used to resolve JAT’s legacy debts, not to fund daily operations.[18] This move towards financial independence has been accompanied by a renewed focus on profitability, as highlighted by CEO Jiri Marek, who emphasized the airline’s commitment to operating as a commercial entity even under state ownership.
In terms of passenger performance, Air Serbia has made significant strides. In 2024, the airline carried 4.44 million passengers, edging closer to the 1987 record of 4.53 million set by JAT Yugoslav Airlines.[13][1] This achievement is both symbolic and practical, reflecting the airline’s resurgence as a major player in the region.
Air Serbia’s fleet strategy is characterized by diversification and modernization. As of April 2025, the fleet includes 29 aircraft: four Airbus A330-200s for long-haul routes, three A320-200s, ten A319-100s, two Embraer E-195s, and ten ATR 72-600s for regional operations.[2][7] This mix allows the airline to tailor capacity to route demand and optimize operational efficiency.
The recent addition of the Embraer E-195 (YU-ATC), a 118-seat aircraft, exemplifies the carrier’s approach to right-sizing capacity on medium-density European routes.[2][7] CEO Jiri Marek noted that since 2022, the fleet has grown by 18 aircraft, a move aimed at improving reliability and reducing maintenance costs associated with older planes.[2] Air Serbia’s plan to expand to 32 aircraft by 2026 represents a 37% increase from its 2019 baseline.[4][14] The expansion is supported by improved aircraft leasing conditions, with additional Embraer jets and an Airbus A320 expected by the end of 2025.[8][16] Wet-leasing arrangements, such as those with GetJet Airlines and Bulgaria Air, provide the flexibility needed during peak seasons and maintenance periods.[16]
“Since the beginning of 2022, our fleet has been strengthened with 18 new aircraft, marking a significant step towards improving operational efficiency and capacity.” — Jiri Marek, CEO, Air Serbia[2]
Air Serbia’s network development strategy is built on three pillars: leisure routes, hub feeders, and diaspora/business markets.[12] For summer 2025, the airline is launching new services to Florence, Alghero, Mykonos, and Tbilisi, targeting both holidaymakers and transfer passengers.[1][6][12] These destinations complement the carrier’s Mediterranean focus and support its hub-and-spoke model.
The airline’s five-year plan includes a ready list of potential new destinations, allowing rapid adjustments in response to market changes.[12] Air Serbia’s strategy also targets regional markets in Bulgaria, Romania, Hungary, and Slovakia, aiming to build feeder traffic for its long-haul network.
Despite strong point-to-point demand to unserved markets like Dublin and Manchester, Air Serbia’s analysis suggests that these routes are best supported by transfer traffic rather than direct demand.[12][17] This reinforces the airline’s focus on developing Belgrade as a transfer hub, connecting underserved regional cities to global destinations.
“We have a clearly defined list of destinations that can be launched as soon as conditions allow, whether in terms of available capacity or favourable market circumstances.” — Jiri Marek, CEO, Air Serbia[12]
Air Serbia’s financial turnaround is notable. The airline reported a preliminary net profit of EUR 41.3 million in 2024, with total revenue surpassing EUR 700.3 million, both company records.[9][10] This performance was achieved despite significant investments in fleet renewal and expansion, underscoring the effectiveness of the airline’s commercial strategy.
Revenue growth of 11.5% in 2024 outpaced the 6% increase in passenger numbers, indicating improved yield management and pricing strategies.[9][11] Operational efficiency gains were also evident, with 4.44 million passengers carried on 47,022 flights and cargo volumes rising by 25.14% to 7,144 tons, the highest since 2013.[13]
The airline’s market share at Belgrade Airport increased from 43% in 2018 to 52% in 2025, reflecting both organic growth and successful competitive positioning.[14] Air Serbia now holds the largest market share among former Yugoslav carriers and ranks fifth among Central European airlines, though it is still 51st in Europe overall.[14]
“Fleet renewal and expansion, as well as the introduction of a new aircraft type, entail significant costs and major investments, yet we still achieved improved financial results.” — Jiri Marek, CEO, Air Serbia[9]
A key driver of Air Serbia’s growth has been its shift toward transfer traffic. The proportion of transfer passengers rose from 20% in 2019 to 40% in 2024, reflecting the airline’s success in developing Belgrade Nikola Tesla Airport as a regional hub.[17] The hub model is supported by airport infrastructure that enables quick transfers, walking times between gates are under 15 minutes with no additional security or passport checks for connecting passengers.[17] This efficiency, along with optimized network schedules, positions Belgrade as a competitive alternative to larger European hubs for certain traffic flows.
The transfer strategy is particularly important for routes with limited point-to-point demand, enabling Air Serbia to serve destinations that might not be viable for low-cost or point-to-point carriers.[17]
Air Serbia’s long-haul network includes four Airbus A330-200s serving New York, Chicago, Guangzhou, and Shanghai.[14] The addition of Shanghai in January 2025 and the codeshare agreement with China Southern Airlines have strengthened the airline’s position in the Asian market.[14]
The carrier’s approach to long-haul expansion is cautious and profitability-focused. Future destinations under consideration include Miami, Toronto, Tokyo, and Seoul, though the immediate priority is increasing frequencies on existing routes.[12][14]
Strategic partnerships, including codeshares and interline agreements, are central to expanding network reach without overextending resources. Air Serbia’s openness to further alliance integration and regional cooperation reflects a pragmatic approach to growth.[3][14]
Air Serbia’s operational improvements extend to both ground and in-flight services. The opening of a new Premium check-in facility at Belgrade Airport, featuring dedicated counters and customer assistance, enhances the passenger experience for business and premium travelers.[19]
The planned development of an in-house maintenance, repair, and overhaul (MRO) facility by 2026 will enable the airline to manage fleet upkeep more efficiently and reduce reliance on external providers.[4] This investment is expected to improve aircraft turnaround times and support further fleet expansion.
Cabin modernization, such as the installation of Recaro 3520DE seats, and the launch of a cadet pilot program in partnership with the Aviation Academy, demonstrate Air Serbia’s commitment to both customer comfort and workforce development.[5][13] Social responsibility initiatives, including uniform donations and environmental projects, further enhance the airline’s public image.[6] While Air Serbia’s recent growth has been impressive, challenges remain. Aircraft maintenance requirements, especially for older models, necessitate careful planning and backup capacity.[16] The airline’s reliance on wet-leasing during peak periods is a pragmatic response to current market conditions, but long-term fleet renewal decisions are unlikely before 2027 due to manufacturer lead times.[8]
The competitive landscape is evolving, with low-cost carrier penetration fluctuating and regional consolidation opportunities on the horizon.[14] Air Serbia’s hybrid model, combining cost efficiency with select premium services, positions it well to compete across multiple market segments.
Looking ahead, Air Serbia’s focus on sustainable growth, operational flexibility, and strategic partnerships will be critical as it seeks to surpass historical records and establish itself as a leading European carrier.
“Our focus now is on the main driver of growth in the coming period, which will be transfer traffic.” — Jiri Marek, CEO, Air Serbia[17]
Air Serbia’s current expansion strategy is a testament to its transformation from a state-supported entity to a commercially viable airline. The combination of fleet modernization, network optimization, and service enhancements has resulted in record financial and operational performance. The planned addition of five new aircraft and selective route upgrades through 2026 are set to further consolidate the airline’s position in the region and beyond.
As Air Serbia continues to implement its strategic vision, the focus on transfer traffic, operational efficiency, and customer experience will remain central. The airline’s ability to adapt to changing market conditions, invest in infrastructure, and forge strategic partnerships will determine its success in achieving sustainable, long-term growth in the competitive European aviation sector.
Q: How many aircraft will Air Serbia add as part of its current expansion plan? Q: What are the main new routes Air Serbia is launching in 2025? Q: Is Air Serbia still receiving direct state subsidies? Q: What is Air Serbia’s main growth strategy? Q: How has Air Serbia’s financial performance changed recently? Sources:
Air Serbia’s Strategic Fleet Expansion and Route Enhancement Initiative: A Comprehensive Analysis of Growth Plans Through 2026
Historical Context and Strategic Pivot
Fleet Modernization and Expansion
Route Network Development
Financial Performance and Market Position
Transfer Traffic and Hub Development
Long-Haul Network and Partnerships
Operational Efficiency and Service Enhancement
Market Challenges and Future Outlook
Conclusion
FAQ
A: Air Serbia plans to add five new aircraft to its fleet by 2026, bringing the total from 29 to 32 aircraft.[2][4]
A: The airline is launching new routes to Florence, Alghero, Mykonos, and Tbilisi, among others.[1][6]
A: No, Air Serbia ceased receiving direct state subsidies in 2023, marking a shift to commercial independence.[18]
A: The main growth driver is transfer traffic, with a focus on developing Belgrade as a regional hub connecting Europe, Asia, and North America.[17]
A: The airline reported record net profits and revenues in 2024, with over EUR 700 million in revenue and EUR 41.3 million in profit.[9][10]
EX-YU Aviation News
Photo Credit: Air Serbia
Route Development
Chicago O’Hare Launches Orchard-Inspired Concourse D Expansion
O’Hare International Airport’s $1.3B Concourse D with orchard-inspired design and 19 flexible gates is set to open in late 2028.
This article is based on an official press release from the City of Chicago.
On Thursday, February 5, 2026, Chicago Mayor Brandon Johnson and the Chicago Department of Aviation (CDA) released a detailed animated preview of “The New Concourse D” at O’Hare International Airports. Formerly known as Satellite Concourse 1, this $1.3 billion infrastructure project represents a pivotal phase in the airport’s massive ORDNext expansion program.
According to the official announcement, the new facility is currently under construction following a groundbreaking ceremony in August 2025. Scheduled to open to the public in late 2028, Concourse D is designed to modernize the passenger experience with a focus on wellness, natural light, and operational flexibility. The project is being led by the architectural firm Skidmore, Owings & Merrill (SOM), alongside partners Ross Barney Architects and Juan Gabriel Moreno Architects (JGMA).
The newly released video highlights a dramatic shift in design philosophy for the airport, moving away from industrial aesthetics toward a “nature-infused” environment that pays homage to the site’s history.
The central theme of the new concourse is a direct nod to O’Hare’s pre-aviation history as an apple orchard, originally known as Orchard Field, which gave the airport its “ORD” IATA code. The City of Chicago press release details how the interior architecture features tree-like structural columns that branch out to support the roof, creating a canopy effect intended to reduce travel stress.
A key feature of the design is the “Oculus,” a central skylight that serves as the building’s architectural focal point. The design team emphasizes that this feature is not merely aesthetic but functional, directing natural daylight deep into the building to aid in intuitive wayfinding.
“We designed the new satellite concourse to create a frictionless experience for travelers… The gate lounges feature column-free expanses for easy wayfinding, high ceilings to optimize views, and a daylighting strategy to help align the body’s natural rhythms.”
, Scott Duncan, Design Partner at SOM
The facility will include over 20,000 square feet of airline lounge space and 30,000 square feet dedicated to retail and concessions. In a move to accommodate modern traveler needs, the design also incorporates a dedicated children’s play area and multi-level communal seating equipped with integrated charging stations. Beyond the aesthetics, Concourse D is a critical component of the broader ORDNext (formerly O’Hare 21) capital program. The expansion is necessary to maintain O’Hare’s status as a global hub by increasing gate capacity and flexibility.
According to the CDA, the concourse will add 19 new flexible gates to the airport’s portfolio. These gates are designed with versatility in mind, capable of accommodating:
This flexibility allows the airport to adjust to shifting market demands between domestic and international travel without requiring physical construction changes.
“By breaking ground on Concourse D, we are taking a critical first step toward enhancing how the airport welcomes and serves more than 80 million passengers each year.”
, Michael McMurray, CDA Commissioner
Mayor Brandon Johnson emphasized the economic impact of the project, noting that it serves as an economic engine for the region. The city estimates the project will create approximately 3,800 construction jobs.
The rebranding of “Satellite 1” to “Concourse D” and the release of this high-fidelity animation signal a clear intent by Chicago officials to solidify the project’s identity before the steel rises significantly. By leaning heavily into the “Orchard” narrative, the CDA is attempting to differentiate O’Hare from other sterile, glass-and-steel global hubs.
From an operational standpoint, the “flexible gate” configuration is the most significant detail. As airline fleets evolve and the mix between wide-body international haulers and narrow-body domestic hoppers fluctuates, static gates can become liabilities. The ability to park two narrow-bodies in the footprint of one wide-body maximizes the return on Investments for this $1.3 billion asset, ensuring it remains relevant regardless of how airline strategies shift in the 2030s.
The project is currently active, with construction managed by the joint venture AECOM Hunt Clayco Bowa. The timeline provided by the city outlines the following key milestones:
Concourse D is located just south of the existing Concourse C (Terminal 1) and will be connected via a new walkway extension. It serves as the precursor to the eventual demolition of Terminal 2, which will make way for the future O’Hare Global Terminal.
Where is the new Concourse D located? When will Concourse D open? Why is it called the “Orchard” design? How much will the project cost?
O’Hare Unveils “Orchard-Inspired” Vision for New Concourse D
Design Philosophy: Returning to the Orchard
Operational Capacity and ORDNext Strategy
AirPro News Analysis
Timeline and Next Steps
Frequently Asked Questions
It is located directly south of the existing Concourse C at Terminal 1. It will be connected to the main terminal complex via a new walkway extension.
The City of Chicago and the Chicago Department of Aviation have scheduled the opening for late 2028.
The design pays tribute to “Orchard Field,” the original name of the airfield that became O’Hare. The interior columns resemble trees, and the layout emphasizes nature and light.
The budget for Concourse D is set at $1.3 billion.
Sources
Photo Credit: City of Chicago
Aircraft Orders & Deliveries
EgyptAir Receives First Airbus A350-900 to Modernize Fleet
EgyptAir accepts its first Airbus A350-900, starting a fleet overhaul with 16 aircraft to expand long-haul routes and improve efficiency.
This article is based on an official press release from Airbus and additional fleet data.
EgyptAir has officially taken delivery of its first Airbus A350-900, registered as SU-GGE, marking a significant milestone in the carrier’s modernization strategy. The handover, which took place on February 9, 2026, positions the Cairo-based airline as the first operator of the A350-900 in North Africa.
According to an official press release from Airbus, this aircraft is the first of 16 A350-900s ordered by the Egyptian flag carrier. The delivery underscores EgyptAir’s commitment to phasing out older wide-body jets while expanding its long-haul network capabilities to new destinations in North America and Asia.
The arrival of the A350-900 represents a pivotal shift in EgyptAir’s long-haul operations. The airline originally signed for 10 aircraft during the Dubai Airshow in November 2023, later expanding the commitment with a top-up order for six additional units. These new airframes are intended to replace the carrier’s aging Boeing 777-300ER fleet, offering improved operating economics and passenger comfort.
In a statement regarding the initial order, Yehia Zakaria, EgyptAir Holding Chairman and CEO, highlighted the flagship status of the new type:
“The A350-900 will be our flagship aircraft… adding the world’s most modern and efficient widebody aircraft to our fleet will be instrumental in expanding our offering.”
Christian Scherer, Chief Commercial Officer at Airbus, noted the economic advantages the aircraft brings to the airline’s network:
“The A350 is the one and only aircraft enabling EgyptAir to open up its network with benchmark economic efficiency, not to mention passenger comfort.”
EgyptAir has outlined a phased entry-into-service plan for the new fleet. Initially, the aircraft will be deployed on trunk routes to London and Paris to facilitate crew familiarization. Following this integration period, the airline plans to leverage the A350’s 9,700 nautical mile range to launch non-stop services to the U.S. West Coast and key Asian markets, including Shanghai, Beijing, and Tokyo.
The new A350-900 features a two-class configuration designed to maximize capacity while introducing updated premium amenities. According to fleet data, the aircraft accommodates a total of 340 passengers. Technological upgrades are a focal point of the new cabin. The aircraft is equipped with Panasonic Avionics’ Astrova in-flight entertainment system, providing 4K OLED screens and high-fidelity audio. Additionally, passengers across all classes will have access to USB-C fast charging ports and high-speed Wi-Fi connectivity.
The transition to the A350-900 aligns with broader industry sustainability goals. Powered by two Rolls-Royce Trent XWB engines, the aircraft is reported to burn 25% less fuel compared to the previous generation aircraft it replaces. This efficiency gain corresponds to a 25% reduction in CO2 emissions.
Furthermore, the A350 is recognized as the quietest aircraft in its class, possessing a noise footprint 50% smaller than older jets, a critical factor for operations at noise-sensitive airports in Europe and North America.
EgyptAir’s delivery secures its position as the sole active operator of the A350-900 in the North African region, a status solidified by the shifting strategies of its neighbors. While other carriers in the region had previously expressed interest in the type, market dynamics have led to cancellations and delays.
For instance, Air Algérie cancelled its order for A350-1000s in early 2025, opting instead for Airbus A330-900neos. Similarly, Tunisair cancelled its A350 commitments in 2013. Other regional orders, such as those from Libyan carriers Afriqiyah Airways and Libyan Airlines, remain stalled due to long-standing instability. Consequently, EgyptAir currently faces no direct regional competition operating this specific airframe, potentially offering it a product advantage on competitive routes connecting Africa to Europe and the Americas.
Sources:
EgyptAir Accepts Delivery of First Airbus A350-900, Initiating Major Fleet Overhaul
Fleet Modernization and Strategic Expansion
Operational Deployment
Cabin Configuration and Passenger Experience
Environmental Performance
AirPro News Analysis: Regional Market Context
Airbus Press Release
Photo Credit: Airbus
Route Development
SAS and TAROM Codeshare Connects Scandinavia and Romania in 2026
SAS and TAROM announce a codeshare agreement effective February 2026, enhancing connectivity between Scandinavia and Romania with SkyTeam benefits.
This article is based on an official press release from SAS Group.
Scandinavian Airlines (SAS) and TAROM, the flag carrier of Romania, have announced a comprehensive codeshare agreement set to commence on February 9, 2026. The partnership aims to restore and enhance connectivity between Northern Europe and Romania following SAS’s strategic shift to the SkyTeam alliance.
According to the official announcement from SAS Group, the agreement will allow passengers to book single-ticket journeys between the two regions by utilizing major European transit hubs. This move integrates TAROM, a long-standing SkyTeam member, more deeply with SAS, which officially joined the alliance on September 1, 2024.
The collaboration addresses a significant gap in network connectivity, offering business and leisure travelers seamless baggage check-through and reciprocal loyalty benefits. Paul Verhagen, EVP & Chief Commercial Officer at SAS, emphasized the strategic value of the deal in a statement:
“This new partnership with TAROM marks an important step in enhancing connectivity between Scandinavia and Romania. By combining our networks and offering smooth transfers via key European hubs, we are giving our customers more choice, flexibility, and convenience.”
Rather than launching direct flights immediately, the airlines are leveraging a “virtual hub” strategy. According to the press release, the codeshare will route traffic through four key intermediate airports: Amsterdam (AMS), Brussels (BRU), Frankfurt (FRA), and Prague (PRG).
Under the terms of the agreement:
This structure allows the airlines to offer competitive travel times and frequency without dedicating aircraft to direct point-to-point routes, which are currently dominated by low-cost carriers.
This agreement is a direct consequence of the major airline alliance realignment that occurred in late 2024. When SAS departed Star Alliance to join SkyTeam, it lost its traditional connectivity to Eastern Europe provided by partners like Lufthansa and Austrian Airlines. Partnering with TAROM allows SAS to rebuild its footprint in the region using SkyTeam infrastructure.
For TAROM, the deal unlocks access to the high-yield Scandinavian market. The Romanian carrier is currently in the midst of a fleet modernization program, transitioning from aging aircraft to new Boeing 737 MAX 8 jets expected to arrive in late 2025 and 2026. By utilizing SAS for the northern leg of the journey, TAROM can expand its network reach while conserving its own metal for other high-demand routes. Narcis Obeadă, Commercial Director at TAROM, hinted at further expansion in the company’s statement:
“In the coming period, TAROM will announce new commercial agreements, in line with the company’s mission to safely and efficiently connect Romania and Romanian culture to the international air transport network.”
Travelers utilizing the codeshare will benefit from the full suite of SkyTeam alliance perks. Members of SAS EuroBonus and TAROM’s loyalty program will be able to earn and redeem points on these codeshare flights. Additionally, premium passengers will gain access to SkyTeam lounges at transit hubs.
The passenger experience on the SAS leg of these journeys is also set for an upgrade. SAS is currently rolling out free high-speed Starlink WiFi across its fleet, a project the airline states will be widely available by late 2025.
The “Prague” Anomaly and Market Positioning
The inclusion of Prague (PRG) as a connection hub is a notable operational detail. Following the cessation of operations by Czech Airlines (CSA) as a standalone SkyTeam member in October 2024, Prague is no longer a primary alliance hub. The decision to route traffic through PRG suggests a strong bilateral interline capability between SAS and TAROM that functions independently of major alliance hub infrastructure.
Furthermore, this deal clearly targets the premium business segment. While low-cost carrier Wizz Air operates direct flights between Bucharest and Copenhagen, legacy carriers cannot compete purely on price. Instead, SAS and TAROM are competing on schedule flexibility (multiple daily frequencies via hubs) and corporate perks (lounge access, baggage interlining). With tourism to Romania rising, foreign arrivals were up 13.4% year-on-year as of August 2024, the demand for reliable, full-service connectivity is likely to grow.
When can I book these codeshare flights? Will my bags be checked through to the final destination? Do these flights count toward SkyTeam Elite status?
SAS and TAROM Launch Strategic Codeshare to Connect Scandinavia and Romania
Operational Details: The Virtual Hub Strategy
RO marketing code on SAS flights connecting Copenhagen, Oslo, and Stockholm to these intermediate hubs.SK marketing code on TAROM flights connecting Bucharest to the same hubs.Strategic Context: The SkyTeam Realignment
Passenger Experience and Loyalty
AirPro News Analysis
Frequently Asked Questions
The codeshare agreement is effective starting February 9, 2026. Tickets should be available through both airlines’ booking channels prior to this date.
Yes. Because this is a full codeshare agreement, passengers traveling on a single ticket (e.g., Bucharest to Stockholm via Amsterdam) will have their baggage checked through to the final destination.
Yes. Flights marketed and operated by SkyTeam members (SAS and TAROM) count toward tier status and accrue redeemable miles/points according to the rules of your specific loyalty program.
Sources
Photo Credit: SAS Group
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