Thai AirAsia has launched operations out of Bangkok, becoming the latest low-fare airline to challenge the incumbent carriers in Asia.
The new airline, which is jointly owned by fast-growing Malaysian low-cost carrier AirAsia and Thai conglomerate Shin Corp, launched operations on 3 February with a handful of domestic services. Its next step is to expand into the international market with flights between its Bangkok base and Singapore, where at least two new carriers are also being prepared for launch.
Thai AirAsia is now the second low-fare airline operating in Thailand, after international carrier Orient Thai recently launched One-Two-Go, which started operating no-frills domestic services late in 2003.
Thai Airways International is meanwhile working to ensure that it does not lose out in the no-frills market, with plans to launch a low-fare carrier, to be called Nok Air.
The airline plans to launch services around the middle of this year, and Thai says it has selected five local companies to be minority shareholders. The carrier will initially operate domestic routes but also has plans to launch into international operations.
Source: Airline Business
