Loading

United Airlines reduces seasonal capacity in the competitive US-New Zealand/Australia market

After rapid growth in the market between North America and Australia/New Zealand, an airline has finally blinked: United Airlines will change its sole New Zealand service, San Francisco-Auckland, to only operate seasonally. United will rely on its JV partner Air New Zealand.

Auckland is less important for United than for American Airlines and its codeshare (but not JV) partner Qantas. Qantas has exited the Auckland-Los Angeles market, so American's entry to New Zealand gives it two nonstops from both Australia and New Zealand, enhancing presence across the region and making it easier to bring American visitors to both Australia and New Zealand.

United's adjustment to a seasonal service will mean that the New Zealand-North America (excluding Hawaii) market will expand by a reduced 10% instead of 17%. Even with this downward change there will be 17% more capacity than in the previous record year of 2008.

Become a CAPA Member to access Analysis Reports

This CAPA Premium Analysis Report is 1,086 words.
Become a CAPA Member

Our Analysis Reports are only available to CAPA Members. CAPA Membership provides exclusive access to in-depth insights on the latest developments in the aviation and travel industry, developed by our team of dedicated analysts located in Europe, North America, Asia and Australia.

Each report offers a fresh perspective on the latest industry trends and is available online or via the CAPA mobile app, with customisable alerts to help you stay informed and identify new business opportunities.

CAPA Membership also provides access to our full suite of tools, including a tailored selection of more than 400 News Briefs every weekday and comprehensive data and analysis on thousands of companies around the world.