Keflavik Airport Expands Routes and Seeks New Opportunities

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Keflavik Airport (KEF), Iceland’s primary international gateway, is set to broaden its network with exciting new route opportunities, enhancing connectivity across North America and Asia. The airport, operated by Isavia, handles 98% of Iceland’s air traffic, connecting to over 90 destinations through 28 airline partners.

In 2023, KEF welcomed more than 7.7 million passengers, marking a significant 27% increase from the previous year. Major sources of inbound traffic include the U.S. (28.9%), the UK (12.8%), and Germany (6.3%). Leading carriers at KEF include Icelandair, PLAY, Wizz Air, and easyJet.

The airport recently announced a new partnership with Discover Airlines, which will introduce a thrice-weekly service from Munich starting in April 2025. Additionally, airBaltic will commence a new route to Tallinn Airport (TLL) in May 2025. PLAY has also launched a weekly service to Split, Croatia, operating through October, while Icelandair has started a 4X-weekly service to Pittsburgh, Pennsylvania.

In the Canadian market, KEF is seeing growth with WestJet’s new flight from Calgary starting in May 2024, and Air Canada has increased its frequencies to Toronto and Montreal.

KEF’s membership in Routes 360, the premier digital platform for route development, allows it to showcase multiple route opportunities aimed at bridging connectivity gaps and boosting overall air connectivity.

North America Expansion Opportunities

Destinations in North America, including Boston, New York, and Washington, were among the top 10 routes from KEF in 2023. The airport has identified significant expansion potential in this region, particularly on previously served routes. For instance, a direct route to Los Angeles International Airport (LAX) previously operated by WOW Air carried over 4,000 passengers in early 2019. This number has risen to more than 27,000 passengers flying indirectly to LAX from KEF in 2023. Similarly, the former direct route to San Francisco International Airport (SFO) saw over 26,000 passengers in 2019, with nearly 20,000 opting for indirect flights in 2023.

Asia Market Opportunities

In Asia, KEF has noted substantial indirect traffic to cities such as Hong Kong, Bangkok, Shanghai, and Incheon, highlighting strong passenger demand. In 2019, Chinese visitors were the fourth-largest group of inbound tourists at KEF, accounting for 5.7% of the total.

Unserved Routes

KEF is exploring new routes to several major airports:

  • Los Angeles International Airport (LAX)
  • San Francisco International Airport (SFO)
  • Hong Kong International Airport (HKG)
  • Suvarnabhumi International Airport (BKK)
  • Incheon International Airport (ICN)
  • Narita International Airport (NRT)
  • Beijing Capital International Airport (PEK)
  • Shanghai Pudong International Airport (PVG)

Underserved Routes

There are also opportunities to better serve existing routes, such as:

  • Bergen Airport (BGO)

These expansions reflect KEF’s commitment to enhancing its global connectivity and meeting growing passenger demand across key regions.

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