Airlines operating in the Asia-Pacific region currently face and will face for a number of years, one of the most competitive environments in the world according to the Centre for Asia PacificAviation.
The centre said that a surge in capacity being brought on by Asia-Pacific and Middle Eastern carriers would result in one of the busiest years of new airline activity in the region in more than a decade.
It said the projected arrival of new aircraft in 2008 and the proliferation of new entrants would produce the most competitive airline conditions ever seen in the region.
“Several carriers are also preparing to establish off shore hubs through cross-border joint ventures, as well as through the utilisation of increasing rights available under more liberal air services agreements,” the centre predicted in a wrap-up of regional airline activity. “Extra hubs are also planned by some carriers.”