Qantas and Virgin may experience a little international rivalry on flights to regional Australia as one foreign carrier expands its local network.
AirAsia’s boss has flagged intentions to build on the carrier’s Australian services by expanding its wings into regional areas such as Newcastle and Toowoomba.
Speaking to the Financial Review, the carrier’s Group Chief Executive, Tony Fernandes, said he sees Toowoomba as a potential alternative to Brisbane, while places such as Newcastle and Cairns are of “huge interest”.
According to the boss, the budget airline is also hoping to return to Adelaide one day, while Tasmania’s capital, Hobart, may also find itself on the AirAsia network in the near future.
Should the carrier manage to build on its services in Australia, Fernandes believes it could reduce fares between Australia’s capital cities and Kuala Lumpur by 20 percent, making it more affordable for Aussies to visit Malaysia.
“If we get more Toowoombas and Avalons, we can bring fares down another 20 percent pending what oil costs are doing.”
Tony Fernandes, AirAsia Group Chief Executive
“We’re also very interested in the new Sydney airport – we like anything that helps us drive down costs to make it cheaper for more people to fly.”
Read more of Fernandes’ interview on Financial Review.
The news comes shortly after AirAsia confirmed it would move its Melbourne operations from Tullamarine Airport to Avalon Airport to the end of the year.
Fernandes said the move would make long-haul flying more affordable for Melbourne and the Victorian region.
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