More routes to start between China and U.S.
0 
The new United Airlines, the world's largest airlines after the merger of United and Continental Airlines, plans to commence flights from Shanghai to Los Angeles on May 21 and resume services from Beijing to Washington, DC, by the end of March.
James Mueller, vice-president of Pacific, the United Airlines, said on Wednesday in Beijing that the new routes between Shanghai and Los Angeles will connect Chinese travelers with its network services beyond the Los Angeles International Airport.
The company had operated the Beijing-Washington route a few years ago but suspended the direct flights between 2009 and 2010 due to the global financial crisis.
The latest plan is the first major move after the merger of the United Airlines and Continental Airlines to form United Continental Holdings Inc in October 2010.
United expects the merger to deliver $1.0 billion to $1.2 billion in net annual savings by 2013.
Speaking on the commercial and operational integration, Mueller said: "Being large is helpful but it is not enough to be successful. The question is what you do with the large size."
Benefits of the combined new carrier include its presence in all the key traffic routes of North America, making the new United the No 1 carrier in service across the Atlantic.
He said that with Continental's strong position in New York and United's air hub in San Francisco and Chicago, the company will be able to offer non-stop services on the West and East coasts from Beijing and Shanghai.
At present, United has 11 non-stop routes between China and the US, while Delta Airlines has five and American Airlines has three.
Chinese booming tourism market has been a stimulator to the airline businesses across the Pacific. United operated nine round-trip charter flights from Beijing, Shanghai, Hangzhou and Shenyang to the island of Guam during the Chinese New Year in 2011.
"Tourism travel in China is growing very quickly, creating opportunities for us. But rapid growth like this exceeds the infrastructures that support it," he said, citing the constraints on the time slots and process for Chinese travelers to get visas to the United States.
In 2010, it was estimated 720,000 Chinese visitors traveled to the US - a substantial increase from 545,000 in 2009, said United.
According to the Civil Aviation Administration of China's forecast in October, the number of Chinese to visit the US will reach 2 million by 2015. Similarly, 3 million visitors from the US are expected to visit China by 2015.
"We are excited to provide convenient schedule for the first-time Chinese travelers to the United States flying on United Airlines," Mueller said.
"Chinese tourist groups want to have multiple options, given the new United's network, we hope to take more visitors in the future."
The benefit of the combination of the fleets allows the new carrier to introduce a host of aircraft of different sizes and to open up services in more cities in China.
Li Xiaojin, a professor at the Civil Aviation University of China, said the new routes between the US and China symbolize the attraction of the Chinese market, booming from the country's growing economy, trade, exchange rate and tourism.
He said the flight fares from China to North America and Europe have surged 60 percent and traffic flow had been doubled between 2006 and 2010. "The competition of the international routes in China are going to be harsh, pressing Chinese airlines to offer more options and better services to its customers," Li said.
Go to Forum >>0 Comments