AirAsia X scraps Christchurch flights

  • Breaking
  • 13/03/2012

By Jeff Hampton

South Island tourism is going to take a hit with the decision by AirAsia X to scrap its flights between Christchurch and Kuala Lumpur.

It's estimated the airline pumped an $60 million into the economy in the months it was operating.

But the airline's departure may not be the end of the matter. 

The striking red colours of AirAsia X have just two and a half months left in Christchurch – the airline that charges $99 for an 11-hour flight is quitting the city.

While passenger numbers were good, the airline blames the soaring cost of fuel.

Christchurch Airport chief executive Jim Boult says he is bitterly disappointed to lose the airline.

“It's been a great service – very popular. I understand the reasons for it, 30 percent increase in the price of jet fuel, but it doesn't lessen the disappointment for us.”

Its aircraft were 80 to 90 percent full. The no-frills approach appealed to younger and budget-minded travellers.

AirAsia X announced its arrival with lots of razzamatazz, with chief executive Azran Osman Rani making big promises.

“It means a lot more visitors coming to visit this magical island,” he said. “And people in New Zealand having more affordable fares to connect with the rest of the world.”

But in the last few months it's been cutting its long-haul flights. Anything over 10 hours got the chop.

It brought 25,000 extra visitors and $60 million in revenue to the South Island since starting in April last year.

Tim Hunter of Canterbury Tourism says it is a “sad day” for the tourism industry.

“The last year's been difficult for us, and it was our ray of sunshine. It opened up a whole new market, which was Malaysia.”

Passengers booked after the end of May can get a full refund or make their own way to Australia and pick up an AirAsia X service from there.

Christchurch airport says the link has proved viable and it’s talking to three other Asian airlines in the hope of bringing them here.

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source: newshub archive