Montreal receives first Asian service with Air China's Beijing flight, and hopes others will follow

Montreal airport, Canada's fourth largest, is finally receiving its first Asian service with Air China planning to launch three weekly flights in Sep-2015 from its Beijing hub. The flights are planned to continue to Havana, a strategically important destination for the Chinese government, which Air China will fulfil as the flag carrier. There are not yet local pick-up rights available, placing large cost pressure on the Montreal-Havana sector, but even with fifth freedom traffic the tag will challenged for profitability. Air China's Beijing-Montreal flight will be a part of its pending joint-venture with Air Canada.

Montreal hopes Air China will bring a domino affect observed in Boston, where one Asian service gradually brought more. The dynamics are different in Montreal, but with time there are opportunities for new services. Shanghai and Hong Kong are the obvious targets based on unserved O&D traffic flows. Air Canada is unlikely to open service, making Montreal dependent on foreign carriers. Shanghai's China Eastern however is likely tied up with its Toronto service while Hong Kong's Cathay Pacific may prefer to wait until it has A350-1000s. Hainan Airlines, which is supplementing its Beijing hub with Shanghai long-haul services, could be a contender in the future.