THAILAND: Thai to launch budget carrier next year

Thai Airways International (THAI) will operate a new super low cost airline next year, aimed at beating back the challenge from budget carriers and reclaiming passengers back to the national airline. The announcement comes after the board of directors voted to allow Ampon Kittiampon to continue as chairman for another three year term. The move […]


Thai Airways International (THAI) will operate a new super low cost airline next year, aimed at beating back the challenge from budget carriers and reclaiming passengers back to the national airline. The announcement comes after the board of directors voted to allow Ampon Kittiampon to continue as chairman for another three year term. The move is seen as a bid by the Thai management to pave the way for having its own super low cost airline despite signing an agreement with Singapore-based Tiger Airways last year to establish a joint venture budget airline. The joint venture, Thai Tiger Airways, is expected to start services this month. The airline has already extended its agreement with Tiger Airways for another three months, from June to August this year, to continue the project. The agreement extension is to avoid a possible suit by Tiger Airways for violation of the contract. Ampon said the company would set up a new business unit to run the new low cost airline. The company plans to start the service in March or April next year. The carrier will operate in the domestic market and regional destinations such as Singapore, Hong Kong and Macau.