Lion Air of Indonesia, with has 92 aircraft in the air and a massive 537 more on order, is making a move into Thailand’s aviation market, first floated plans to launch Thai Lion Air six years ago.
Thailand’s Civil Aviation Department confirmed that it had heard about the plans this week, but stressed the airline has yet to submit an application for an air operator’s certificate.
Despite awaiting official authorisation, the carrier has reportedly started recruiting pilots, cabin crew and ground staff to operate the airline and is expected to base six single-aisle twin-jet Boeing 737-800s at Don Mueang Airport, the Bangkok Post reported.
Civil Aviation Department director-general Woradej Harnprasert said the airline’s entry into Thailand would intensify the already competitive market, which he sees as a good thing.
“Lion Air’s entry is good for more healthy competition, giving passengers choice,” Mr Woradej said.
So far, Lion Air has not revealed who will bee its 51-per-cent Thai partner.
Lion Air is on a massive expansion drive. In February last year it signed an order for 230 aircraft from Boeing, the largest order ever, then topped that earlier this month with an order from Airbus for 234 more aircraft.
Posing less of a threat will be Thai VietAir. Talks are reportedly in an advanced stage between Ho Chi Minh City-based VietJet Aviation and Somphong Sooksanguan, president of Thai commuter airline Kan Air and owner of debt-collecting firm Kannithi Co, to form Thai VietJet Air.
Mr Somphong would own 51 per cent of Thai VietJet Air, with the remainder owned by VietJet, Vietnam’s first privately owned airline, said an industry source.
VietJet Air, which was only launched in December 2011, launched a daily Bangkok-Ho Chi Minh City service on February 10, using a new A320 narrow-body jet with 180 seats. It launched a daily Bangkok-Hanoi service on Saturday (June 1) and will add a second daily flight between Bangkok and Ho Chi Minh City later this year.
The source said Thai VietJet Air is expected to take to the skies in the next six months with an initial fleet of two A320s. It plans to operate domestic Thailand flights and connect the kingdom with other countries in the region.
VietJet Air operates six A320s, mostly on domestic routes in Vietnam, and has 20 more new A320s on order.
– e-Travel Blackboard, Bangkok Post