Thai considers new “ultra-low-cost” carrier

Asian airlines cut frequencies on loss-making routes to Europe

The battle for low-cost regional routes in Asia is heating up further with Thai Airways’ announcement that it is thinking about setting up a new carrier to exploit the strong demand in this fast-growing sector. The announcement comes as the group reveals that its first quarter was strong and that it is on track to achieve its net profit target for 2012.
Regional competition is intensifying as big players such as Singapore Airlines and Cathay Pacific Airways cut frequencies on loss-making routes to Europe to focus on profitable destinations in Asia.
“We are joining with Nok Air to study a new ultra-low-cost airline,” Thai Airways President Piyasvasti Amranand explained, in reference to the group’s 49%-owned budget airline. “Nok Air will focus on domestic routes and we need another one to tap strong demand from this sector.”
Meanwhile, Thai Airways is planning to launch Thai Smile, a new mid-range airline, on July 7.


Check Also

Singapore Airlines, business, premium economy, product, long-haul, Stockholm, first class

Skytrax 2018 airline awards, the best airline in world is Singapore Airlines.

The Skytrax awards were presented this week at the Langham Hotel in London and one Nordic carrier did well.

SAS, Sweden, tax, aviation, airlines, Copenhagen, travel, Hong Kong, route, Stockholm, Arlanda, Cathay Pacific

SAS moves Hong Kong from Stockholm to Copenhagen

SAS says it is moving its route to Hong Kong to the Danish capital, at the expense of Stockholm Arlanda.

codeshare, agreement, deal, codes, via, fly, flights, travel, TAP, airBaltic, Portugal, Latvia, America, South, Brazil, Africa, connections, Lisbon, Riga, Latvia, Baltics, Vilnius, Tallinn

airBaltic and TAP reveal codeshare

The new agreement announced today will give Baltic passengers better access to other continents.

Cathay Dragon, Finnair, China, codeshare, agreement, Cathay, connect, oneworld, points, Vietnam, Cambodia, Malaysia, Helsinki, Myanmar

Finnair expands in Asia with Cathay

The Finnish airline is now able to extend its network in Asia, effectively adding several new destinations.

A350-900ULR, SIA, Singapore Airlines, Singapore, New York, longest, route, flights, world, Newark, LA, Qantas, United, Continental, ULR, ultra long range

Airlines target ultra-long range routes

Singapore Airlines is to launch the world’s longest commercial flights later this year with ULR aircraft.

SilkAir, SIA, low-cost, Asia, flights, airlines, routes, singapore airlines, merge, cabin, upgrade, lie-flat, business class, results, profit

SIA to upgrade – then merge with – SilkAir

The revelation comes a day after strong full-year results exposed SilkAir as a weak spot.