Air Serbia outlines Europe, Middle East and long-haul plans

Air Serbia is set to continue its network expansion this week with the launch of flights to Mykonos, soon to be followed by new services to Alghero, Tbilisi, and Geneva. Together with the recently inaugurated routes to Shanghai and Florence, the airline will have added six new destinations to its network by mid-June. Speaking to EX-YU Aviation News at the IATA Annual General Meeting & World Air Transport Summit in New Delhi, Air Serbia’s CEO Jiri Marek and General Manager Commercial and Strategy, Boško Rupić, shared insights into the carrier’s upcoming plans for Europe, the Middle East, and long-haul markets.

Upcoming summer expansion

Commenting on the carrier’s latest expansion drive, Mr Marek said, “What we learned after Covid is that leisure routes consistently perform well, and they continue to do so. So, the strong demand for our upcoming leisure destinations came as no surprise. Unfortunately, we weren’t able to secure slots in Ibiza, which is a pity as it would have been a strong performer. Mykonos, on the other hand, is doing very well. Most bookings are from individual travellers, which is a positive sign. It shows that shifting our strategy away from traditional charter destinations and toward extending seasonality is working. Sardinia [Alghero] is also performing strongly. Ideally, we would prefer to operate into Olbia, and we will continue to pursue that, as Olbia is a significantly better entry point for individual travellers”.

He added, "Tbilisi is primarily maintained as a transfer route, and we’re pleased with its performance so far. It’s still early to draw firm conclusions, as the booking window for this type of route differs from that of typical leisure destinations. With leisure routes, demand is immediate, and seats tend to sell out quickly. For more traditional routes like Tbilisi, bookings tend to come in later. Still, the first flight is already showing a load factor of around 80%, which is quite encouraging. We expect most of the bookings to come in during the final two weeks, so things are developing as expected".

Mr Rupić revealed that the airline remains committed to launching flights to Ibiza, with the route now likely to be introduced in 2026. The delay is due to slot unavailability caused by handling constraints at Ibiza Airport. “It’s a destination that sees strong point-to-point demand, along with a significant volume of transfer passenger”, he explained.

Commenting on the newly launched Florence service, Mr. Rupić said, “The ATR has proven to be an ideal aircraft for this route. Rather than increasing capacity, we see greater value in boosting frequencies. Our load factors are already exceeding 90%”.

Air Serbia summer network as of June 2025

Future expansion in Europe

Commenting on further expanding across the continent, Mr Marek said, “Looking ahead, we’ve set certain expectations by launching forty destinations. Naturally, this has generated a lot of excitement around each new route. However, I believe the next phase will be more focused on network densification”.

“That said, densifying leisure routes isn’t always feasible. In some markets, Valencia, for example, adding extra frequencies doesn’t necessarily stimulate additional demand. You simply have to accept the limitations of leisure-driven traffic. On the other hand, routes like Madrid, Barcelona and similar markets present clear opportunities for densification, and we will continue to build frequency there where demand supports it”.

Mr Marek noted the airline will continue to look at new opportunities based on market dynamics. The CEO said, “We’ll reserve some capacity for agile, opportunistic decisions, like last year’s Nice launch. A good example is also our return to Geneva. Whenever there's a strong case, we’ll bring certain destinations back into the network because we see long-term value in them. Now we’re shifting our focus toward destinations like Tbilisi, where there’s a critical mass to support both connectivity and network development. These are markets where adding flights can also help feed the broader network. That said, the number of completely new destinations we can introduce is becoming more limited. So going forward, it will be a mix: a few new launches, realistically five to six per year, combined with route densification and seasonal adjustments”.

“This winter, for example, we see some promising opportunities. Last year we already evaluated certain destinations for winter extension, but unexpected maintenance issues limited our capacity. Now, with the Embraers in the fleet, we’re seriously considering extending some routes, possibly even year-round service, where market conditions allow. Of course, as we saw recently with other airlines' adjustments, there may still be short off-periods, but the long-term potential is evident.”

Mr Rupić highlighted that the introduction of Embraer aircraft into the fleet is opening up new opportunities for the airline. The network expansion over the past two years has also allowed the carrier to reassess previously discontinued routes, such as Geneva. The airline is once again exploring destinations like Helsinki, which were unable to support larger aircraft back in 2019. “When we launch certain routes, such as those in the Caucasus region, where we’re also considering additional points, the Embraers strengthen our position”, Mr Rupić said. He added, “They allow us to test new markets with more flexibility and achieve stronger initial results, which we can then build on by upgauging to larger aircraft”.

Middle East and North Africa

MENA region expansion "a matter of time"

Air Serbia no longer maintains operations to the Middle East and North Africa, however, Mr Marek said the region is on the airline’s radar. “It’s just a matter of time. These destinations are complex for many reasons, whether it’s airport slots, costs or overall risk. So yes, they’re definitely on our radar. However, we currently have other priorities where we see stronger profitability. That said, sooner or later, these routes will return. I can’t say exactly when, it all depends on the right opportunity. But as our Embraer fleet continues to grow, it’s also creating new possibilities and giving us more flexibility to explore such routes”, Mr Marek said.

Long-haul

YU-ARC is scheduled to return to the lessor in November 2026

The CEO described Miami as the natural next target for US expansion, though he emphasised that the route involves a number of strategic and operational complexities.

Mr Marek said, “Miami is a very logical destination - especially when paired with Toronto, even though Toronto is only seasonal. But it’s a complex decision. When you’re talking about launching routes like New York, Chicago or even China, those are, in many ways, no-brainers. In New York and Chicago, you have a solid diaspora base that provides a stable foundation of demand. Add to those domestic US connections, cargo potential, and so on, and the business case becomes fairly straightforward. China, of course, presents different dynamics, but a similar logic applies”.

“Miami, however, is different. It may be a logical market, but it’s the first destination where success would rely on combining multiple market segments - leisure, diaspora, connectivity, and possibly business travel. That naturally increases the risk. On top of that, considering the current market dynamics and volatility, it’s difficult to make long-term decisions. With long-haul routes, you typically need to announce at least eight months in advance - six months is already pushing it - just to allow enough time for effective sales and marketing”.

“Then there’s the fleet question. One of our aircraft is scheduled to be returned to the lessor in November 2026. That’s the aircraft registered as YU-ARC. To extend its lease, we’d need to invest in cabin upgrades now. At the same time, other A330s are starting to appear on the market, but until any deals are finalised, it’s difficult to commit to launching a new long-haul route without full certainty that the aircraft will be available”.

“So yes, it’s a complex decision. But I would still say Miami is the next logical step. When we’ll make that call is hard to say, sometimes we surprise even ourselves with how quickly things move”.

In the coming days, EX-YU Aviation News will bring you other topics discussed in the interview, including Air Serbia’s fleet strategy, operational results, new frequent flyer program and lounge developments.