In what should be good news for cheap travel, whether cheap airplane tickets, discount hotel rooms or cheap vacation packages, many new planes and even new airlines are being added in the Asia Pacific region to respond to the brisk economic growth, increasing affluence and increased liberalization of the region.
China and Indias growing middle class as well as changing regulations and newly built airports have resulted in new start up airlines being planned and large aircraft orders being placed in recent months.
Asia is the worlds biggest, fastest growing and more profitable aviation market.
Qantas Airways, Australias largest airline, with a 65 percent share of the Australia market, is adding two new airline ventures in Asia over the next few years, in addition to Jetstar, its current low cost brand. Qantas is partnering with Japan Airlines and Mitsubishi in Japan to form Jetstar Japan which will be a low cost airline that is scheduled to fly within Japan by the end of 2012. Later it is expected to offer short haul international service to regions within Asia.
Qantas is also planning to launch a premium airline that will be based in Asia and operate under a new name.
Qantas has announced intentions to buy 110 new Airbus A320 aircraft and offer flights to Santiago, Chile, while cutting back service to London.
Experts predict air service in Asia to grow dramatically over the next five years. Peach is a low cost airline that will be based in Japan which is expected to start flying in March of next year and will be part owned (39 percent) by All Nippon Airways of Japan.
Although Delta Air Lines continues to be the worlds largest airlines, mainland Chinese airlines China Southern and China Eastern, now rank among the top 10 airlines when measured by passengers flown, even though they are largely unknown outside China.
Cathay Pacific, based in Hong Kong, and Korean Air Lines is the worlds biggest air cargo airlines. Hong Kong has become the largest cargo hub in the world.
The Asia Pacific region is the most profitable among airlines. Asia Pacific airlines are projected to make a total profit of $2.1 billion this year, which is over half of the worlds total estimated profit of $4 billion for 2011. North American airlines profits are forecasted at $1.2 billion, with European airlines making as little as $100 million in 2011. www.cheapfares.com