Thai AirAsia adding back idled jets amid China tourism restart, mulls shifting planes from other routes
- Thailand expects seven to 10 million Chinese travellers to arrive by air this year now that Covid-19 restrictions have eased
- Nation’s tourism market is recovering but there’s still a long way to go – in 2019 it welcomed 40 million international arrivals
Budget carrier Thai AirAsia plans to resume operations of eight aircraft that were idled during the pandemic and is considering shifting planes from other parts of the group to cater for the growing number of visitors from China.
Asia Aviation, the operator of Thailand’s biggest low-cost airline, also expects improved earnings growth with the resumption of more flights to Chinese cities, Chief Executive Officer Santisuk Klongchaiya said during an interview in Bangkok on Thursday.
“Our advance bookings have demonstrated strong earnings momentum”, Santisuk said. “We may find a big challenge to expand seat capacity with demand from Chinese travellers. But seat shortages are a problem we’re happy to deal with”. Thai AirAsia currently has 53 jets in its fleet, he said.
The carrier joins peers including Thai Airways International in scrambling to resize their fleets to cater for a jump in tourists from China, which now allows people to come and go freely without quarantine.
Thailand welcomed 11.2 million foreign tourists in 2022, the highest number since Covid-19 emerged in early 2020, and expects seven to 10 million Chinese travellers to arrive by air this year, Health Minister Anutin Charnvirakul said last month.
Asia Aviation posted a record quarterly loss of 4.72 billion baht (US$143 million) in the three months through June 30. The AirAsia Aviation Group owns 43 per cent of Asia Aviation, according to the company’s website.