Tigerair Seeking Flights to South Korea

Budget carrier Tigerair Philippines, a subsidiary of Cebu Pacific, is seeking the approval of the Civil Aeronautics Board to begin flying to South Korea, the nation's top source of tourists. According to an application filed at the Civil Aeronautics Board, Tigerair Philippines is applying for the designation as the official Philippine carrier to South Korea. 

tigerair south korea flights
Copyright Photo: Angelo Agcamaran/PPSG
Local carriers are now seeking expansion in South Korea following the restoration of Category 1 status by the United States. Although the Category 2 restrictions were imposed by the United States, the South Korean aviation regulator adopted the same restrictions preventing Philippine carriers from expanding operations in the country. With the restrictions now lifted by the United States, it is expected that expansion in South Korea may now continue. 

The Philippines is currently trying to renegotiate its air services agreement with South Korea in order to facilitate an expansion of flights between the two countries, which is expected to not only drive tourism but also trade and investment. 

As the largest source of tourists to the Philippines, it is believed that demand will rise as the air travel market becomes more competitive between the two countries. In the first quarter of 2014, South Korean tourists represented nearly 25 percent of all inbound tourist arrivals according to the Department of Tourism.

The Civil Aeronautics Board is expected to make a decision on the application on June 12. Tigerair Philippines was acquired by Cebu Pacific earlier this year in a deal worth US $15 million. The deal increased Cebu Pacific's domestic market share up to 56 percent and provided the airline with access to Tigerair's valuable slot portfolio at the highly congested Ninoy Aquino International Airport. Tigerair Philippines and Cebu Pacific are expected to carry nearly 17 million passengers in 2014.

No comments

Powered by Blogger.