New year, new airline: MASWings to cease operating as AirBorneo takes off

With the new year approaching, Malaysia Aviation Group’s (MAG) transition of operations from MASwings to AirBorneo will officially take effect from 1 January 2026.

AirBorneo

With the new year approaching, Malaysia Aviation Group’s (MAG) transition of operations from MASwings to AirBorneo will officially take effect from 1 January 2026.

Marking a significant shift for regional aviation in East Malaysia, the transition follows MAG’s signing of a purchase agreement with the Sarawak Government on 12 February 2025. MAG is the holding group for MASwings, as well as Malaysia Airlines and Firefly.

As of the start of 2026, AirBorneo will assume full legal and operational responsibility for services previously operated by MASwings. The transition will ensure continuity for the airline and its passengers while laying the foundations for future expansion.

With its headquarters in Kuching, AirBorneo’s initial focus will be on maintaining essential air connectivity across Borneo and the surrounding region. Operations will commence with existing Rural Air Services (RAS) in Sarawak, Sabah and Labuan. A lifeline for the communities they serve, these RAS routes provide vital air links between remote and interior communities and major urban centres.

AirBorneo will also provide air connectivity across Borneo’s iconic tourism trail, enhancing access to lush rainforests, traditional villages, and world-renowned orangutan habitats. By prioritising sustainable tourism, the airline says it will support eco-tourism growth and conservation efforts, boosting responsible travel and economic opportunities across the island.

AirBorneo fleet and network expansion

For its launch, the airline’s fleet will primarily consist of turboprops, including ATR72s and DHC-6 Twin Otters, both of which are well-suited to short runways and regional operations. However, the airline has outlined plans to upgrade and modernise its fleet as its network and passenger demand grow.

Air Borneo

By July 2026, the carrier plans to expand beyond domestic services and offer international routes to destinations such as Singapore and Jeju Island in South Korea. The airline is also planning to introduce cargo operations. These developments are all in line with the airline’s ambition to evolve into a competitive regional carrier while maintaining its role as a RAS operator.

During the initial transition phase , existing MASwings branding is expected to remain visible as AirBorneo rolls out its new corporate identity. MASwings currently owns and operates a fleet of 14 aircraft – eight ATR 72-500 and six DHC-6-400 Twin Otters.  

From MASwings to AirBorneo

Hailed as East Malaysia’s first dedicated commuter airline, MASwings was established to enhance connectivity in Sabah, Sarawak and the Federal Territory of Labuan. The airline began operations in October 2007 with a mixed fleet of 50-seat Fokker aircraft and 19-seat Twin Otter aircraft, later transitioning to ATR turboprops to improve efficiency and the passenger experience.

Over nearly two decades of operations, MASwings has operated over 430,000 flights and carried more than 19 million passengers, playing a crucial role in regional air connectivity and development.

MASwings Twin Otter
Photo: MASwings

In a statement, AirBorneo explained the ownership transition would allow regional air services in Sabah and Sarawak to be further strengthened and supported for the long term.

“The transition has been planned carefully to ensure continuity of service, with no impact on customers’ existing bookings or travel plans,” the statement said.

AirBorneo’s pricing and the road ahead

AirBorneo officially launched its website, online ticket sales and call centre on 10 December. In the interim period, customers can still purchase MASwings airline tickets through the MASwings website for travel up to 13 January 2026. Thereafter, bookings will be available through AirBorneo’s platforms.

Reaffirming its commitment to maintain fair and reasonable airfares, AirBorneo said there has been no increase in fares on any of its routes compared to MASwings’ fares.

AirBorneo route map
Photo: AirBorneo

“The fare structure is calibrated to support the continuity and sustainability of operations, taking into account the subsidy to be provided by the public service obligation agreement with the Federal Government (RAS Agreement).”

Looking ahead, AirBorneo said it would continue to engage with the federal authorities to secure a new RAS agreement and explore additional measures to keep fares affordable. For non-RAS routes, AirBorneo is developing a pricing strategy that balances value, connectivity and reliability while factoring long-term operational sustainability.

Despite some pushback over launch fares, Sarawak’s Minister for Tourism, Creative Industry and Performing Arts, Dato Sri Abdul Kari Rahman Hamzah, called for patience. During a press conference, he said: “The planes have not even taken off yet, and people are already complaining.”

Hamzah also reiterated the importance of ensuring fair competition with the wider aviation ecosystem, ensuring AirBorneo’s growth does not undermine other regional carriers.

As AirBorneo prepares for take-off, the airline positions itself not as a successor to MASwings but as a future-focused regional carrier, combining essential connectivity with modernisation and long-term economic growth for East Malaysia.

Featured image: AirBorneo

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