Tuesday, November 24, 2015

Eva Air announces expansion strategy

Eva Air's CEO officially unveiled the carrier's 5 year expansion strategy that focused on long haul growth and fleet rationalization. The main highlights of the plan are as follows:
  • 24 B787-100s + 2 B777-300ERs ordered
  • Frequencies to North America to be boosted i.e. SFO increased from double to triple daily, JFK increased from daily to double daily
  • New long haul services to Chicago and Washington DC to be launched in 2016 with B777-300ERs
  • Two new European destinations likely to be launched in 2016 i.e. Milan and Bareclona

MXP-TPE demand in 2014 was 27,000 pax versus FCO-TPE being 36,000 (CI operates this route via DEL three times per week using an A333). Maximum required is a 3 weekly nonstop service on a B789 sized aircraft. BCN-TPE on the other hand was 15,000 pax and the same held true for MAD-TPE last year. I dont see the viability of Spain being added to BR's network. MXP has a bit of merit as it can also provide useful onward feed to SE Asia.

Instead of BCN, I would strongly suggest BR consider ZRH-TPE which had 28,000 pax point to point in 2014 with much higher yields good cargo potential major Star hub hence can provide incremental S/F with support from LX !

For USA-TPE 2014, demand was as follows:

NYC - 150K
LAX - 379K
SFO - 268K
IAH - 22K
SEA - 51K
ORD - 25K
IAD - 21K
YYZ - 35K
YVR - 91K

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