Cebu Pacific to Enter US Market Starting in Guam

Following the lifting of the Category 2 US aviation restrictions earlier this year, Cebu Pacific, the country's largest low cost carrier, is planning to launch its operations to the United States beginning with flights to Guam. Cebu Pacific has been eyeing US operations for quite some time as the carrier seeks to expand and compete with rival carrier, Philippine Airlines.

Copyright Photo: Angelo Agcamaran/PPSG
According to Alex Reyes, General Manager of Cebu Pacific's Long Haul Division, the carrier plans to enter the US market through Guam and Hawaii. "Since we started our long-haul operations, we announced that we are interested in markets that have a huge concentration of Filipinos, such as Saudi Arabia and the US."

Reyes added that applications were already submitted to the United States for an operating permit. "We applied for our operating permit to fly to the US two months after the Federal Aviation Administration lifted our status to Category 1," said Reyes. 

Cebu Pacific has already obtained clearance from the US Department of Transportation to operate flights to Guam, Saipan, Honolulu, San Francisco, and Los Angeles. "We are particularly interested in two of those destinations: Guam and Honolulu," said Reyes. "We want to reach destinations through non-stop operations via our Airbus A320 for Guam and Airbus A330 for Honolulu."

Although no plans or definitive timelines have been released by the carrier, the CAPA Centre for Aviation released a recent report stating that Cebu Pacific is planning to launch service to Guam by the end of the year. However, CAPA also noted that service to Hawaii may take longer as Cebu Pacific needs to first secure approvals for extended range twin-engine operations for its A330 fleet. 

The Centre for Aviation believes that Honolulu could be a challenging destination from a competitive viewpoint as Philippine Airlines is also planning to expand its Manila to Honolulu flights from four weekly flights to daily service before Cebu Pacific even enters the market. It is believed Cebu Pacific will enter the Honolulu market sometime in early 2015. 

Meanwhile, Cebu Pacific is still several years away from serving the United States west coast cities as it continues to research and evaluate possible options for long-haul aircraft. The carrier is apparently evaluating a number of aircraft including the Airbus A350, Boeing 787, and Boeing 777. "We are always evaluating aircraft acquisition since we are in constant touch with airframe manufacturers," said Reyes. "As an airline, we are continually studying opportunities for further growth."

6 comments:

  1. This will increase competition between PAL and Cebu Pacific
    like what Korean Air and Asiana are doing in Korea now. The services and amenities of both airlines (KE/OZ) are very impressive and their air fares are very competitive (USA to Asia) as well. We will definitely compare and contrast PAL and Cebu Pacific's fares and amenities and looking forward to an annual vacation to RP (instead of Europe). Let's go CebuPac/PAL, show what you got!

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  2. I am sure Filipinos (especially those who are enjoying retirement) and other nationalities residing in the USA will be glad to visit the Philippines every now and then if they find that Cebu Pacific's fares are very enticingly low-- Piso fares? Copy what Aer Lingus is doing now for European market. It is both a popular and a no frills airline. I should know, I just came from Dublin flying Aer Lingus last month. Marvelous, that's what airline business is all about!.

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  3. Sure, if PAL and Cebu Pacific will charge seniors a generous discounted fare from USA to RP, that market is very, very profitable. Your load factor on this route would be 100%. Come on guys!

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  4. I hope they will also do Guam to Cebu/Mactan instead of just doing Guam to Manila

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  5. i am from guam and so is very interested in knowing when will fhe flight from guam to manila start...competition is really very good for us consumer..it means good service and lower airfare rates...

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  6. It is only interesting for us southern pinoy if the flights is from cebu, if muadto Pako ug Manila, i will fly with singapore Airlines nalang or or cathay.

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