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Ukraine International plans to expand into long-haul operations in 2013 with Bangkok and Beijing

Analysis

Ukraine International Airlines (UIA) is planning to expand into the long-haul market in 2013 with widebody aircraft being added for flights to North and Southeast Asia. The eastbound expansion marks a significant milestone for UIA as it will help balance out a western-focused network and help the carrier continue to build its transit hub at the Ukrainian capital Kiev. Asian expansion will also result in more intense competition with Ukraine's other major carrier, AeroSvit, which already operates widebodies and is planning later this year to double the size of its for now small network in North, South and Southeast Asia.

UIA CEO Yuri Miroshnikov told CAPA on the sidelines of last week's IATA AGM in Beijing that the privately-owned carrier aims to launch services to Bangkok and Beijing in 2013. UIA is now seeking to lease at least two widebody aircraft to support the new flights, most likely Boeing 777s although A330s are also being considered. 767s, which AeroSvit currently operates to Bangkok and Beijing along with other medium/long-haul destinations, is not under consideration according to Mr Miroshnikov due to their relatively higher seat costs.

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