ULCC JetSMART going well, but new Argentina president may halt that

Premium Analysis

Two years ago, Chile’s JetSMART officially ushered in the ultra low cost model in lower South America, betting it could stimulate passengers and spread the model across the continent. 

JetSMART has largely lived up to its expectations, as growth in Chile’s domestic market has growth solidly since its debut and the airline has built up a double digit passenger share in Chile since it launched operations. JetSMART has also started domestic operations in Argentina, as well as launching international services from both Chile and Argentina

It is rapid expansion in a short period of time, but JetSMART believes Latin America is a ripe market for the ULCC model.

However, it is unclear whether Argentina will remain a favourable place for low cost operators to do business following reformist President Macri's removal.

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