alliance in the sky

Alliance in the sky: Tiger Airways, China Airlines, SpiceJet, Scoot & Nok Airlines

In Airlines, Asia, Low Cost Airlines, routes, Strategy by ariesLeave a Comment

Alliance in the sky

Taiwan’s China Airlines and Singapore’s Tiger Airways plan to set up a Taiwan-based budget carrier.

 

This will allow Taiwan’s biggest airline to tap into Asia’s low-cost aviation market.

 

Tigerair, in which Singapore Airlines owns about a third stake, will also extend its presence into the new and largely untapped markets of Taiwan, Japan, and Korea.

 

In a media release on Monday, Tiger said the new carrier will operate under the Tigerair brand and be independently managed. Tigerair’s website will be the main sales and distribution platform.

 

Tigerair will initially hold 10 per cent of the start-up, while China Airlines will hold a 90 per cent.

Alliance in the sky

 

The partner carriers will be submitting applications for regulatory approvals.

 

Tiger Airways also announced an agreement with Indian budget carrier SpiceJet, allowing both to connect passengers on each other’s flights.

 

Tigerair currently flies to Hyderabad in India and the agreement with SpiceJet will allow the two to connect 14 Indian cities from there.

 

Tiger Airways and Scoot — the long-haul, low-cost unit of Singapore Airlines — also agreed to work together on joint operations, and sales and marketing on parallel routes.

 

In a separate announcement, Scoot said the company plans to establish a new Bangkok-based low-cost carrier with Thailand’s Nok Airlines.

 

The new airline will be named NokScoot and will be based at Don Mueang International Airport. It will operate wide-body aircraft on medium and long-haul international routes.

Nok will have up to a 51 per cent stake in the new carrier and Scoot will hold a 49 per cent stake.

Alliance in the sky

The establishment of the new airline is subject to regulatory approvals.

 

New revenue, new routes & new customers – join us in the upcoming World Low Cost Airlines Asia Pacific 2014! I look forward to meeting you there!

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