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AirAsia to establish new base in Jakarta

By Budget Airline News

Budget airline AirAsia has announced it will establish a new base in Jakarta, Indonesia. The proposed name for the new base is AirAsia Asean.

The AirAsia statement read: “It has become abundantly clear to us that as we enter our second decade,… we need to pivot to a wider, regional lens from the first decade’s focus, which was largely domestic. In line with this shift in our focus, we have established a regional base in Jakarta. Called AirAsia Asean, the office will be located far enough, physically as well as psychologically from AsirAsia’s airline offices in each of the countries we operate in.”

AirAsia already has regional bases in Kuala Lumpur, Malaysia, and Bangkok, Thailand. At present, AirAsia maintains a fleet of 18 aircraft at Jakarta’s Soekarno-Hatta International Airport. With the formation of the new base, the number of aircraft and routes are likely to increase as AirAsia tries to seize their share of the rapidly growing Indonesian market.

Mandala Airlines to fly Jakarta – Bangkok

By Budget Airline News

Mandala Airlines, the Indonesian low-cost carrier, has announced it will offer direct flights from Jakarta to Bangkok, Thailand. The new route will commence on August 10, 2012, with one round-trip flight per day.

In the press release, Mandala Airlines CEO Michael Coltman said: “To meet Indonesians’ desire for travel we will continue to seek opportunities to expand our network in Indonesia and the region and to share with our customers the benefits of connectivity to the rest of Asia.”

Bangkok will be the third international destination for Mandala Airlines, after Kuala Lumpur and Singapore. Mandala Airlines recently formed a partnership with Tiger Airways and is expected to continue to increase its network throughout Southeast Asia.

 

AirAsia Philippines launches flights to Malaysia

By Budget Airline News

On June 9, 2012, AirAsia Philippines launched daily direct flights from Manila (Clark) to Kuala Lumpur. This is the airline’s first international route since it began operations in March this year.

In a statement, AirAsia Philippines CEO Marianne Hontiveros said: “We want to draw tourists from Malaysia to our amazing beaches and natural wonders. If we are able to draw even a fraction from Malaysia’s 24.5 million tourists, this will impact on our arrival record.”

AirAsia Philippines is a regional branch of AirAsia, the largest budget airline in Asia, and is owned 60% by investors in the Philippines and 40% by Malaysia’s AirAsia International Ltd.

AirAsia Philippines also offers domestic flights from Manila (Clark) to Kalibo, Davao, and Puerto Princesa. Its second international destination will be Hong Kong with service commencing in July 2012.

Thai AirAsia reduces Bangkok – Colombo flights

By Budget Airline News

Thai AirAsia will be reducing the frequency of Bangkok – Colombo flights due to low demand. Effective from June 14, 2012, the low-cost airline will reduce frequency from a daily flight to three flights per week.

The new schedule  for flights from Bangkok, Thailand, to Colombo, Sri Lanka, will be Wednesdays, Fridays, and Sundays.

 

Jin Air to fly Seoul – Nanning

By Budget Airline News

Jin Air, a low-cost airline based in South Korea, will bedin direct flights from Seoul to Nanning, China.  This new route will commence on June 15, 2012, and the initial schedule will be two round-trip flights per week.

Out-bound flights from Seoul to Nanning to will be available on Mondays and Friday. Return flights from Nanning to Seoul will be available on Tuesdays and Saturdays.

The flight duration is approximately four hours.

India’s SpiceJet to begin Dubai flights

By Budget Airline News

Indian low-cost airline SpiceJet has announced it will begin direct flights to Dubai, UAE. Flights will be available from June 25, 2012, with departures from Delhi or Mumbai.

SpiceJet will operate a daily round-trip flight for each of these two new routes. Dubai is SpiceJet’s third international destination after Kathmandu and Colombo. SpiceJet  has grown to be India”s second-largest budget carrier in terms of market share.

One-way fares start from 4,447 rupees ($81 USD) plus taxes and surcharges.

Tiger Airways to own 40% of SEAir

By Budget Airline News

Tiger Airways is negotiating a deal to acquire 40% of Southeast Asian Airlines (SEAir). SEAir is a small airline headquartered in Manila, Philippines.

Tiger Airways was already an investor in SEAir, but now seeks to increase its holding to 40% through acquisitions from foreign shareholders. Over time, SEAir will adopt Tiger’s business model and offer low-cost fares to domestic and international destinations within a 5 hour flights from the Philippines.

In a statement, Tiger CEO Chin Yau Seng said: “We are pleased to welcome a new Cub to our family and look forward to nurturing its growth with our Filipino business partners. The investment in SEAir is in-line with our strategy to develop the business into a pan-Asian one, one that will enable us to leverage on the strength of our Singapore base and scale up the size of our business across the region.”

Tiger Airways seems enormous growth potential for the air travel in the Philippines, a country of 90 million people, and is anticipated to announce new SEAir routes in the near future.

Kuala Lumpur’s new Low-Cost Carrier Terminal to open by April 2013

By Budget Airline News

Malaysian newspapers are reporting that the construction of KLIA2, the planned low-cost carrier terminal at Kuala Lumpur International Airport, is ahead of schedule and should be fully operational by April 2013.

The news was released following a visit by investors to the construction site. The new airport terminal is currently 52% complete and 90 days ahead of schedule.

KLIA2, as the new terminal will be called, is set to be the world’s largest low-cost carrier terminal and have the capacity to handle 45 million passengers per year.

Kuala Lumpur is the base for AirAsia, the largest budget airline in Asia, which operates more than 400 flights per day.

Scoot announces new routes to Tokyo and Taipei

By Budget Airline News

Following its inaugural flights from Singapore – Sydney, Scoot Airline revealed two new destinations. The Singapore-based budget airline announced it will offer flights to Tokyo, Japan, and Taipei, Taiwan, sometime in the near future.

Scoot was founded in November 2011 and commenced flights on June 4, 2012. It is wholly owned by Singapore Airlines and focuses on serving medium and long-haul routes.  As a budget airline, passengers pay separately for checked luggage, in-flight meals, and an iPad entertainment system.

Starting dates for the new routes have not yet been announced.  Previously announced routes for Scoot include Gold Coast, Australia, Tianjin, China, and Bangkok, Thailand.

Scoot launches Singapore – Sydney flights

By Budget Airline News

June 4, 2012 –  Scoot, Asia’s newest budget airline, took to the air today with its maiden flight from Singapore to Sydney. Its second round, Singapore to the Gold Coast, will launch on June 12, 2012.

Scoot is wholly owned by Singapore Airlines and based out of Singapore’s Changi Airport. Unlike most budget airlines, it will focus on medium and long-haul routes. Upcoming destinations include Tianjin, China, and Bangkok, Thailand.

Scoot’s fares are 40% less expensive than full-service airlines, and it has already sold more than 100,000 tickets. The airline also announced it will be offering iPad rentals for in-flight entertainment.