V Air, Taiwan's second LCC startup to launch in Dec-2014. Initial Thai routes could revive tourism

After a near-quarter century hiatus on new airline entry, Taiwan in Dec-2014 is set to receive its second LCC startup, V Air, wholly owned by existing Taiwanese carrier TransAsia Airways. V Air follows the Sep-2014 launch of Tigerair Taiwan, Taiwan's first new airline in 23 years. V Air has postponed its launch multiple times but now expects to commence service on 17-Dec-2014 with a service to Bangkok Don Mueang, followed by a Chiang Mai service on 07-Jan-2015. The routes will help to revive Taiwanese tourism in Thailand, which has dropped more sharply than the average decline following political instability.

On both routes V Air will compete with Tigerair Taiwan. V Air will also compete with its parent TransAsia to Bangkok but not to Chiang Mai, which TransAsia will drop once V Air launches. How TransAsia, which has only 11 jet aircraft of its own, manages this dual-brand strategy will be a determining factor for V Air's success. Publicly, V Air appears to have garnered interest with its cuddly mascot.