Japan vacillates over AirAsia Japan relaunch, despite strong economic benefits

Two years after the AirAsia Group announced its intention to re-enter the local Japanese market, the venture has been unable to launch. AirAsia Japan Mk II was announced in Jul-2015 and in Oct-2015 it received its AOC. A Mar/Apr-2016 launch was envisaged, but AirAsia Japan has yet to secure final approval. A 2017 launch appears unlikely while some of the 'powers that be' lobby against the airline ever launching.

AirAsia Japan needs to overcome resistance in the often exclusive Japanese environment still smarting from AirAsia Japan MK I - a JV between AirAsia and ANA that was dissolved. Local mindset needs to be more pro-competition: there appears room in Japan for another strong LCC. Japan has aggressive tourism targets that AirAsia Japan can help meet. AirAsia Japan's proposed base is at Nagoya, which does not have a home LCC and is preparing for a LCC terminal. Competitors are making a launch difficult, and Jetstar Japan has established a base at Nagoya.