CAPA Analysis: Cebu Pacific To Expand Operations in China


The Center for Asia Pacific Aviation (CAPA), one of the world’s leading aviation think-tanks, said in a recent report that Cebu Pacific (5J) is expected to expand operations in China with the expected delivery of its brand new A321NEO that will allow the low cost carrier to open new routes and grow capacity. 

Image result for Cebu Pacific A321
Cebu Pacific ordered 32 Airbus 321NEOs

“Cebu Pacific is particularly keen to use the A321neo to open new routes deeper into China,” CAPA said in its report, noting that the aircrafts will also support plans for its North Asia expansion. Currently 5J has 17 weekly flights to four destinations in China.

“However, it is keen to add new flights to China, both scheduled and charters, in line with expected further rapid growth in the China-Philippines market,” it added.

Based on CAPA analysis, visitor numbers from China grew by approximately 20% in 2016, as China overtook Japan to become the country’s third largest source market for the Philippines. Aside from China, Cebu Pacific is also considering opening a branch office in Japan to help support future capacity growth in both markets.

“Cebu Pacific has expanded in Japan in recent years, adding three destinations for a total of four, and will likely use the A321neo to add capacity and new destinations,” it said in its report.

CAPA said Japan is now Cebu Pacific’s third largest international market after Hong Kong and Singapore, while South Korea is its fourth largest international market.

Cebu Pacific ended 2016 with a fleet of 57 aircraft — up only two from the beginning of the year. Cebu Pacific’s fleet was flat at 47 aircraft, while its turboprop subsidiary Cebgo expanded its fleet from eight to 10 aircraft.

Cebu Pacific To Receive Additional A330s in August 2014 and 1Q, 2015


cropped-5j.jpg

Cebu Pacific Air GM long-haul division Alex Reyes, speaking at the CAPA Australia Pacific Aviation Summit, stated (06-Aug-2014) the airline acquired its A330-300 aircraft primarily to serve the Filipino expatriate population in the Middle East. The airline currently operates four A330s in a 436-seat configuration with nine-abreast seating and seat pitch of between 30 and 32 inches. The airline offers WiFi service on the aircraft and plans to roll out streaming to passenger devices in Aug-2014. The carrier will take delivery of one additional A330 in Aug-2014 and a sixth aircraft in 1Q2015.

Source: CAPA

Cebu Pacific To Receive 43 Airbus By 2021, Including A321neos

Cebu Pacific Air GM long-haul division Alex Reyes, speaking at the CAPA Australia Pacific Aviation Summit, stated (06-Aug-2014) the airline expects to take delivery of 43 new Airbus aircraft between 2014 and 2021 to support its network expansion and keep its average fleet age low. Deliveries include A321neo aircraft from 2017. The airline operated 50 aircraft with an average age of four years as of 30-Jun-2014.

Source: CAPA

Cebu Pacific Confirms Manila-Sydney Service in September 2014, Planning Additional Australia Services

Cebu Pacific Air GM long-haul division Alex Reyes, speaking at the CAPA Australia Pacific Aviation Summit, confirmed (06-Aug-2014) the airline will commence ManilaSydney service on 09-Sep-2014. Mr Reyes said bookings for the route are “quite good,” especially for the Dec-2014 travel period. The route is intended to serve the growing Filipino population in Australia and attract tourist traffic from Australia to the Philippines. The carrier will also promote connecting domestic services and routes to destinations in North Asia through Manila. Mr Reyes said the airline plans to commence additional services between Australia and the Philippines, dependent on increasing capacity allocations between the countries. Mr Reyes said the total allocation for all carriers between the countries is currently 6000 seats per week and the entire allocation for Philippine carriers is used by Cebu Pacific and Philippine Airlines.

Source:CAPA