Thai Lion Air On Track For Growth Target

11th Aug 2014

Thai Lion Air, the low-cost Thai subsidiary of Indonesia-based Lion Air group, is on an aggressive mode this year to expand operations by launching new routes across the country and acquire more aircraft.

The no-frills airline will launch next month five new routes, four from its Bangkok hub and one from its Hat Yai hub. From Bangkok's Don Mueang International Airport, the carrier will launch direct service to Krabi, Phuket, Udon Thani, and Surat Thani, and from Hat Yai to Udon Thani.

The opening of five new routes will be supported by the acquisition of two brand-new aircraft, the narrow-body B737-900ER jetliners, which it will take delivery anytime this month. Its current fleet is comprised of four B737-900ER aircraft and one ATR 72-600 turboprop.

The airline is unperturbed by the recent political crisis that crippled the country's economy, especially its tourism industry, with its bold expansion program this year.

The local tourism industry in Thailand is expected to bounce back during the fourth quarter of this year and could fuel demand for air travel as early as later this year.

The planned Bangkok-Udon Thani and Bangkok-Surat Thani routes will be a twice-daily service each. The Bangkok-Krabi and Bangkok-Phuket routes will be served once daily while the Hat Yai-Udon Thani route will be a thrice-weekly service.

Currently, the low-cost carrier operates seven daily flights between Bangkok and Chiang Mai and another seven flights daily between Bangkok and Hat Yai. It also operates a once-daily service between Bangkok and Jakarta.

While it is aiming to expand its domestic operations this year, it is also mulling to open international routes, most especially to southern cities of China such as Shenzhen, Quanzhou, and Wuhan.

When Thai Lion Air commenced operations in December last year, it has since reduced its overseas operations and has concentrated on its domestic operations instead where demand is high. For instance, it reduced its flight frequency between Bangkok and Kuala Lumpur, but eventually suspended the service. The route has since been taken over by its sister airline, Malaysia-based Malindo Air, starting April 24 this year.

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