Connecting the Americas: Opportunities in Latin America and the Caribbean

Latin America and the Caribbean’s commercial aviation sector is poised for one of its most dynamic growth phases in decades. Passenger traffic is forecast to exceed 746 million journeys in 2025,  surpassing pre-2019 volumes. This surge is unlocking opportunities for airlines to rethink their networks, modernise fleets and meet rapidly evolving passenger expectations.

For many smaller and mid-sized carriers, the shift marks a turning point. Years of operating with ageing fleets and limited capacity are giving way to fresh strategies and aircraft acquisitions. Across the region, operators are seizing the chance to strengthen connectivity, from linking island nations to major hubs, to opening new routes in hard-to-reach markets.

Why regional connectivity matters

Latin America and the Caribbean have long been markets defined by diverse geographies, scattered populations and varying levels of infrastructure. The region’s aviation revival is being shaped by three factors: domestic travel demand, the rebound of international tourism and rising economic activity. The result is a sharper focus on connectivity, particularly in markets where air travel is the most practical, or only, means of linking communities.

In Panama, this means faster, more frequent links between Panama City and the Bocas del Toro archipelago. In Costa Rica, it’s about improving access from San José to Pacific coastal airports. For island nations such as St. Lucia, Antigua and Grenada, it’s about maintaining lifeline services to regional gateways.

For governments and local economies, the benefits are clear: reliable air service directly supports tourism, trade and investment. Airlines are responding by revisiting expansion and fleet renewal plans that were paused during the pandemic, with an emphasis on aircraft that offer both efficiency and operational flexibility.

Regional aircraft in high demand

Regional aircraft, particularly turboprops, are playing a pivotal role in this evolving market. Their ability to operate from short or challenging runways, combined with lower operating costs compared to regional jets, makes them the ideal choice for the geographies of Latin America and the Caribbean.

The De Havilland Dash 8-400 has emerged as a popular solution. Offering speed, range and fuel efficiency, the aircraft allows airlines to serve both established city pairs and new routes that were previously uneconomical. A period of increased availability on the secondary market allowed several regional carriers to acquire Dash 8-400s at competitive price points, accelerating modernisation plans.

Although this availability window is now narrowing, the impact has been significant. More operators are now equipped with reliable, higher-capacity aircraft that improve route economics and passenger experience without the higher costs of transitioning to jets.

Air Panama: A case study in regional growth

Air Panama exemplifies this regional shift. In late 2024, Jetcraft Commercial delivered the first two Dash 8‑400 turboprops to the airline, marking a significant fleet upgrade from its previous reliance on smaller turboprops. These aircraft were sourced from Jetcraft’s broader acquisition of 19 Dash 8‑400s from Horizon Air and matched precisely to Air Panama’s needs for domestic and international operations.

The aircraft’s ability to travel further in the same time as older models means Air Panama can offer faster connections and open previously underserved markets. This shift strengthens the airline’s competitive position and supports broader economic activity by improving regional connectivity.

Future opportunities

Looking ahead, Latin America and the Caribbean are poised for continued aviation growth. As tourism strengthens, economies develop and regional connectivity becomes ever more critical, airlines will increasingly invest in modern aircraft that deliver speed, range and cost efficiency.

Jetcraft Commercial will remain a key partner in this journey, supporting operators as they adapt to evolving market conditions and unlock the full potential of air travel across the Americas.