Lucrative air sector springs up for carrier
By Winny Wang |
August 17, 2011, Wednesday
|
Print Edition
Print Edition
CHINA'S budget carrier Spring Airlines is finally able to fly the lucrative Beijing-Shanghai route, which will fuel competition among other Chinese airlines and further dent the domestically troubled high-speed railway.
The Shanghai-based carrier plans to fly daily on the most profitable domestic route as early as the end of September for prices starting at 199 yuan (US$31.17). The special tickets will account for at least 10 percent of total tickets.
"In the first stage, we will operate only one round trip every day, which is expected to depart from Shanghai at 6am and return to the city at 12pm," Wang Zhenghua, chairman of the private carrier, said yesterday at a news conference in Shanghai. He said the airline is restricted to just one service on the route because of the huge number of flights by other carriers.
Wang said the carrier plans to increase flight frequencies on the route. Spring Airlines' state-run rivals such as Air China and China Eastern Airlines operate one flight every half an hour on the route.
If the air fare starts at 199 yuan, a single trip will cost passengers as low as 399 yuan, including a 150 yuan fuel surcharge and 50 yuan airport construction fee, compared with the lowest ticket price of 410 yuan for the high-speed railway.
Other airlines set air fares about 1,000 yuan after the Ministry of Railways said it will cut services on the Shanghai-Beijing high-speed railway from yesterday.
Besides, Spring Airlines may add premium economy-class seats on certain routes because business travelers have accounted for 76 percent of its total passengers on average.
The Shanghai-based carrier plans to fly daily on the most profitable domestic route as early as the end of September for prices starting at 199 yuan (US$31.17). The special tickets will account for at least 10 percent of total tickets.
"In the first stage, we will operate only one round trip every day, which is expected to depart from Shanghai at 6am and return to the city at 12pm," Wang Zhenghua, chairman of the private carrier, said yesterday at a news conference in Shanghai. He said the airline is restricted to just one service on the route because of the huge number of flights by other carriers.
Wang said the carrier plans to increase flight frequencies on the route. Spring Airlines' state-run rivals such as Air China and China Eastern Airlines operate one flight every half an hour on the route.
If the air fare starts at 199 yuan, a single trip will cost passengers as low as 399 yuan, including a 150 yuan fuel surcharge and 50 yuan airport construction fee, compared with the lowest ticket price of 410 yuan for the high-speed railway.
Other airlines set air fares about 1,000 yuan after the Ministry of Railways said it will cut services on the Shanghai-Beijing high-speed railway from yesterday.
Besides, Spring Airlines may add premium economy-class seats on certain routes because business travelers have accounted for 76 percent of its total passengers on average.
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