New Zealand LCC market: AirAsia pulls out again, leaving only Jetstar

AirAsia X will suspend services to Auckland in early 2019, ending a second attempt at serving the New Zealand market. After the last AirAsia X flight departs Auckland on 10-Feb-2019, Jetstar will once again become the only LCC in the expanding New Zealand market.

AirAsia X has served Auckland with a daily flight from its Kuala Lumpur base with fifth freedom rights using a stop at Australia's Gold Coast since Mar-2016. AirAsia X previously served New Zealand with four weekly nonstop flights from Kuala Lumpur to Christchurch but this route was suspended in 2012 after slightly over one year.

AirAsia X's suspension of Auckland is a setback for New Zealand, which has been keen to attract more foreign LCCs as part of its ongoing drive to boost tourism. AirAsia X promises to relook at the New Zealand market in future, with a nonstop service from Kuala Lumpur to Auckland being its most likely third attempt. In the meantime New Zealand tourism and airport authorities will need to focus on trying to attract other Asian LCCs.