HK Express expands as Cathay fumes over Jetstar Hong Kong

Who says Hong Kong is no place for low cost carriers? If it works for Singapore, it should also work for Hong Kong, which is situated at the doorstep of the large China market.

300px-Hong_Kong_Express_Airways_Logo.svgSo while Cathay Pacific Airways rallies to stop Jetstar Hong Kong – a consortium of Qantas, China Eastern Airlines and a local investor – in its track, Hong Kong Express is not wasting time to expand its network. (See Ryanair and Cathay Pacific face the same woe: Competition, Sep 12, 2013) The low cost carrier will commence daily operations in October to Kunming in mainland China, Taichung in Taiwan, Tokyo (Haneda) and Osaka (Kansai) in Japan, Chiang Mai and Phuket in Thailand, and Kota Kinabalu in Sabah, Malaysia.

Cathay probably finds less ground to oppose HK Express, whose parent is Hainan Airlines, than Jetstar Hong Kong, whose main driver is Qantas, a foreign entity. Besides, Hong Kong Express is already headquartered in Hong Kong before its transition into a low cost carrier. Ultimately it is about competition. However, the competition is likely to be more direct between HK Express and Jetstar Hong Kong. Of course, Dragonair – the regional arm of Cathay – may too feel the pinch.

Take a leaf from HK Express deputy chief executive officer Andrew Cowen, who said: “Competition is not an issue for us. We welcome competitions and though there are issues slots and airport constraints, we have no issue with that.”

Advertisements

About Dingzi
Writer by passion, with professional expertise in aviation, customer service and creative writing. Aviation veteran, author, editor and management consultant. Besides commentary on business issues and life-interest topics, travel stories and book reviews, genres include fiction, poetry and plays. Nature lover who abhors cruelty of any form to animals, and a tireless traveler. Above all, a dreamer.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: