AirAsia eyes Middle East hub
AirAsia is considering setting up a low-cost carrier to serve the Gulf region, almost two years after its long-haul division AirAsia X axed its Kuala Lumpur to Abu Dhabi service.
AirAsia CEO Tony Fernandes said in Doha last week that an opportunity had opened up for a budget airline in the region, where low-cost carriers flydubai, Air Arabia and RAK Airways have emerged in recent years.
“As a low-cost carrier, we are (into) creating new markets. If you want to compete, you have to create a product that’s very different and extremely low priced, so that a guy can go to Dubai for a cup of coffee and come back with his airfare being about the same as his taxi fare.”
He said AirAsia had already opened discussions with unnamed potential partners to set up such a budget airline.
AirAsia X, which left Abu Dhabi in 2010 after three months, has since scrapped routes to London, Paris and India.
“We want to have a hub in the Middle East in our 10-year strategy, since Asia is more or less covered. Two or three parties have made known their interest. It’s interesting, but the talks are very preliminary,” Fernandes told The National newspaper.
Fernandes and his co-founder of the Tune Group, Kamarudin Meranun, are also moving their cut-price hotel brand, Tune Hotels, into the Middle East with Qatari partner Mohammed Al Saad.
Ian Jarrett
Vegas’s Billion-Dollar Secrets – What They Don’t Want Tourists to Know
Visit Florida’s New CEO Bryan Griffin Shares His Vision for State Tourism with Graham
Chicago’s Tourism Renaissance: Graham Interviews Kristin Reynolds of Choose Chicago
Graham Talks with Cassandra McCauley of MMGY NextFactor About the Latest Industry Research
Destination International’s Andreas Weissenborn: Research, Advocacy, and Destination Impact
Graham and Don Welsh Discuss the Success of Destinations International’s Annual Conference
Graham and CEO Andre Kiwitz on Ventura Travel’s UK Move and Recruitment for the Role
Brett Laiken and Graham Discuss Florida’s Tourism Momentum and Global Appeal
Graham and Elliot Ferguson on Positioning DC as a Cultural and Inclusive Global Destination
Graham Talks to Fraser Last About His England-to-Ireland Trek for Mental Health Awareness
Kathy Nelson Tells Graham About the Honour of Hosting the World Cup and Kansas City’s Future
Graham McKenzie on Sir Richie Richardson’s Dual Passion for Golf and His Homeland, Antigua
ADS PRO 
Phocuswright reveals the world's largest travel markets in volume in 2025
Higher departure tax and visa cost, e-arrival card: Japan unleashes the fiscal weapon against tourists
Cyclone in Sri Lanka had limited effect on tourism in contrary to media reports
Singapore to forbid entry to undesirable travelers with new no-boarding directive
Euromonitor International unveils world’s top 100 city destinations for 2025