Archive · 26 Jul 2025
Indian Aviation Sector Shows Mixed Performance in 2025
In June 2025, more people were flying in India, but the growth slowed down and declined in July.
IndiGo is still the most popular airline, but Air India is getting more customers.
SpiceJet is struggling, with a very small share of the market.
Airlines are filling more seats, but fuel prices are going up.
This could make flying more expensive and difficult for some airlines.
Domestic air passenger traffic grew 3% YoY in June 2025 but declined 1% in July.
Air India group saw its market share increase to 27.1% in June.
IndiGo maintained market share at 64.5% in June, but saw a marginal decrease.
SpiceJet's market share declined to 1.9%, its lowest point.
Rising aviation turbine fuel (ATF) prices are expected to negatively impact airlines.
- Who
- Air India group, IndiGo, SpiceJet, and Akasa Air.
- What
- The domestic aviation sector saw changes in market share and faces rising fuel costs.
- When
- June and July 2025.
- Where
- India
- Why
- Rising aviation turbine fuel prices have increased, which can potentially squeeze the airline's margins.
Industry Challenges
Airline Performance
Financial Strain
Industry Challenges
Rising fuel costs and slowing demand are expected to put pressure on airlines.
Airline Performance
While facing rising costs, airlines continue to adapt to market demands and strive to improve efficiency.
- Air India Market Share (June 2025)
- 27.1%
- IndiGo Market Share (June 2025)
- 64.5%
- SpiceJet Market Share (June 2025)
- 1.9%
- Passenger Load Factor (Air India Group, June)
- 81.5%
- Fuel Price Hike (July 2025)
- 8%