Delta Air Lines Inc is counting on ties with Asian carriers to expand its route network in China and boost revenue in one of the world's fastest growing travel markets. The company's Asia-Pacific chief also said joint ventures with foreign carriers could help bolster business in Asia should open-skies agreements between the United States and other countries materialise.
"The Chinese economy and the Asia-Pacific economies were less influenced by the recession we had in 2009," said Vinay Dube, Delta senior vice president for Asia-Pacific. Those "will continue to exhibit a very robust air travel demand picture."
The International Air Transport Association forecast this week that China will be the biggest contributor of new air travellers globally through 2014. Of 800 million new passengers it expects by then, 214 million will travel on China routes. As global air travel recovered in the past year, Delta saw its strongest revenue growth in Asia. While overall international passenger revenue rose 22 percent in 2010, growth in the Pacific region was 38 percent.
As demand returns, US carriers are looking to add service to high-growth business markets and upgrade their cabins with fully reclining seats and in-flight entertainment. By 2013, Atlanta-based Delta will have added full-flat beds to 150 trans-oceanic widebody planes used on routes such as between the United States and Asia. Delta has started non-stop service between Tokyo's Haneda airport and Detroit and Los Angeles on February 19, and will resume flights between Atlanta and Shanghai later this year. The carrier is also adding flights between China and Japan and will start flying to Beijing from Detroit.