EVA Airways subsidiary UNI Air has cancelled its order for six firm Bombardier Dash 8 Q400s plus six options as Taiwanese airlines face overcapacity and a slowing domestic economy.
The aircraft were originally scheduled for delivery in early 1999, but UNI Air, which was a Dash 8 Q400 launch customer, deferred them.
"We have cancelled the order, and we have no plans to buy any new aircraft," says Cherry Chen, UNI's fleet planning manager. "The domestic market is just not prosperous."
Meanwhile, Taiwan's biggest and most profitable domestic carrier, Far Eastern Air Transport (FAT), has wet-leased a Boeing 757-200toAir Macau, and will consider terminating the leases onup to four of its Boeing MD-80s when the terms expire over the next two years. FAT would prefer to lease out its MD-80s because the 757s are profitable on regional routes.
Taiwan's domestic market has been hurt by rising ticket prices, overcapacity and a slowing economy, which has caused many passengers to switch to trains and buses. "We have never seen a market situation this bad," says FAT.
The slow market was reflected at last week's TATE show where Embraer was the only regional aircraft exhibitor. Embraer is talking to FAT and China Airlines subsidiary Mandarin Airlines.
Mandarin is planning to replace seven Fokker 50s and two Fokker 100s, says Ricardo Pesce, Embraer director of business development, Asia Pacific. Mandarin has shown interest in the ERJ-170.
"We expect to see some recovery in the Taiwan market in the next two years," says Pesce.
Source: Flight International
