Wash the baby potatoes thoroughly under water and pat them dry with a towel. If they are large, cut them in half; keep smaller ones whole.
In a mixing bowl, combine the olive oil, garlic powder, onion powder, smoked paprika, salt, and black pepper. Stir well to create a marinade.
Add the potatoes to the bowl and toss them in the marinade until they are evenly coated.
Preheat your air fryer to 400°F (200°C) for about 5 minutes.
Once the air fryer is preheated, place the potatoes in the basket in a single layer. Avoid overcrowding to ensure even cooking.
Cook the potatoes in the air fryer for 20-25 minutes, shaking the basket halfway through to ensure they cook evenly.
Once done, remove the potatoes from the air fryer and let them cool for a couple of minutes, then garnish with fresh parsley if desired.