Sydney, Mar 7 (UNI) A full frontal attack on Asia Pacific flag carriers this year is predicted by the Centre for Asia Pacific Aviation in its annual review.
The 181-page Aviation Outlook report for 2007 provides a critical assessment of structural, financial and traffic/capacity outlook for the Asia Pacific aviation industry.
''It is clear that the role of low cost carriers (LCCs) and other start-up airlines enters a new phase in 2007,'' said CAPA's executive chairman Peter Harbison.
''From being unlikely arrivals three years ago to quickly becoming an obviously serious long-term force, recent developments suggest that the new breed of LCC will quickly dominate the entire airline agenda in Asia.'' According to the outlook study, LCCs are expected to take a 20 per cent market share in Asia by the end of this decade -- or a doubling of their current market penetration. Asia Pacific LCCs increased their capacity by 55 per cent in 2006 and will increase seat capacity by 230 per cent by 2012 -- or a 40 to 50 per cent capacity increase per annum over the next five years.
The balance of power in Asia is quickly shifting especially as LCCs take delivery of huge amounts of new capacity and set their sights on intercontinental markets.
More UNI
The 181-page Aviation Outlook report for 2007 provides a critical assessment of structural, financial and traffic/capacity outlook for the Asia Pacific aviation industry.
''It is clear that the role of low cost carriers (LCCs) and other start-up airlines enters a new phase in 2007,'' said CAPA's executive chairman Peter Harbison.
''From being unlikely arrivals three years ago to quickly becoming an obviously serious long-term force, recent developments suggest that the new breed of LCC will quickly dominate the entire airline agenda in Asia.'' According to the outlook study, LCCs are expected to take a 20 per cent market share in Asia by the end of this decade -- or a doubling of their current market penetration. Asia Pacific LCCs increased their capacity by 55 per cent in 2006 and will increase seat capacity by 230 per cent by 2012 -- or a 40 to 50 per cent capacity increase per annum over the next five years.
The balance of power in Asia is quickly shifting especially as LCCs take delivery of huge amounts of new capacity and set their sights on intercontinental markets.
More UNI
Oneindia Login