ANA and AirAsia to form new low-cost airline ‘AirAsia Japan’

JAPAN. ANA Group (All Nippon Airways) and AirAsia have teamed up to form AirAsia Japan, the first low-cost carrier to be based at Narita International Airport.

Operating under the AirAsia brand, the new airline will serve both domestic and international destinations when it commences operations in August 2012, subject to obtaining the relevant approvals.

The move follows the rapid transformation of the aviation industry in Japan, including the expansion of Open Skies Agreements and increased domestic competition from road and rail-based travel. In addition, Narita International Airport is seeking to increase capacity with the introduction of a new terminal and is expected to attract many low-cost carriers and foreign airlines.

In response, ANA has been searching for opportunities to launch a new low-cost business based at Narita. After analysis, it concluded that partnering with an existing low-cost carrier is “the most efficient and strategically advantageous option”.

AirAsia, having already established a solid network within the ASEAN region, has been seeking a business partner with strong Japanese market influence to further expand its scope, as well as contribute to strengthening bilateral ties between ASEAN and Japan.

“The formation of AirAsia Japan leverages AirAsia’s successful business model and brings together the complementary strengths of the two companies, generating new demand with the aim of making affordable and quality travel available to all,” ANA said in a statement.

ANA President and CEO Shinichiro Ito commented: “By combining AirAsia’s business model and brand with ANA’s depth of knowledge of the Japanese market, we aim to bring new value to our customers, offer diverse and enjoyable travel experiences, and generate new demand. We believe that AirAsia Japan will make air travel more accessible and provide a convenient and efficient travel option for a wide range of people.”

AirAsia Group CEO Tan Sri Dr Tony Fernandes added: “We are proud to extend AirAsia’s successful low-cost business model to Japan and further provide opportunities for everyone to fly to the destinations of their dreams with low fares. AirAsia Japan will not only boost economic growth between ASEAN and East Asia by providing better access to markets around the region, but also enhance links within travel, trade and tourism.

“AirAsia is proud to be identified as a low-cost carrier partner to ANA, a very respected, credible and successful airline in Japan. This new joint venture is an important milestone in AirAsia’s growth as ANA is the very first airline partner to form a joint venture with AirAsia.”

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