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Home»Travel»AirAsia says Chinese demand has not returned as expected
Travel

AirAsia says Chinese demand has not returned as expected

adminBy adminFebruary 27, 2023No Comments3 Mins Read
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The number of passengers entering China on AirAsia fell short of expectations after the pandemic restrictions were lifted.

AirAsia X Thailand A330neo
Photo: Airbus


Malaysia-based long-haul low-cost airline AirAsia X has failed to reach 90% seat occupancy on its China routes before the pandemic, with flights occupying only half of the seats on its planes. yeah. This presents a challenge for the second largest aviation market as it tries to open up to other countries.


AirAsia Chief Executive Benjamin Ismail said in an interview on Wednesday:

“Sales have been good and many people are still unsure about the requirements for Chinese people to come back to China and whether quarantine is necessary. If you have it, you should stay at the center or not.”

After three years of strict quarantine due to COVID precautionary measures, China suddenly lifted flight restrictions and began opening its borders in January. As a result, we were understaffed and unable to prepare adequately. As a result, Chinese executives had to wait six to eight weeks to obtain business visas to travel to Europe.

Today’s simple flying video
Indonesia AirAsia Airbus a320 PK-AXD

Benyamin also revealed that AirAsia X will begin flights to Guangzhou, Shanghai and Chengdu this month, with service to Beijing expected around April. He said outbound travel from Malaysia to China has slowed significantly due to COVID testing requirements and complicated visa processes.


profit on half the fleet

AirAsia X reported a profit of RM153 million (US$34.5 million) for the three months to December, boosted by the year-end travel season. The news sent the company’s stock soaring, and on Wednesday he reached its highest level since October 2021, up 40%.

Benjamin explained that the airline has reduced orders for Airbus A330neo and A321XLR during the pandemic, but has committed to take delivery of 15 A330neo and 20 A321XLR. A larger version of the A321 family is intended for use in smaller cities in China and India. It is expected to expand the airline’s network rather than simply replacing older aircraft.

AirAsia X Airbus A330

World is delighted to welcome booming Chinese tourists

On the other hand, the number of Chinese outbound tourists is increasing rapidly compared to the number of travelers to China, which fell short of expectations.

“Welcome to Thailand!” Deputy Prime Minister and Minister of Public Health Anutin, Thailand’s Transport Minister Saseng and Thailand’s Minister of Tourism and Sports Phiap warmly welcomed the recently arrived Chinese tourists and presented them with lavish gifts on the 9th.

China is Thailand’s largest source of tourists. The Thailand Tourism Board said the return of Chinese tourists would further boost Thailand’s tourism industry. In the first quarter of this year, he estimated that 300,000 Chinese tourists visited Thailand, with 5 million visiting Thailand annually.

AirAsia X Airbus A330

Photo: Airbus

The AP reported that Thailand, Indonesia and other Asian tourist attractions have decided not to impose restrictions on Chinese tourists.

During this year’s Spring Festival, overseas tourist destinations will welcome a large number of Chinese tourists. Data show that international travel orders during the 7-day Lunar New Year period increased by 540% compared to the same period in 2022, and the average cost of orders increased by 32% year-on-year. Among them, travel orders to Melbourne, Australia during the Spring Festival increased more than 50 times year-on-year, and travel orders to Bangkok, Thailand increased more than 10 times.

Source: Edge Market



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