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Myanmar Airways International outlook: intense competition, shrinking market share create challenges

Myanmar Airways International (MAI) is aiming to expand its network with a focus on North Asia as the privately owned flag carrier tries to carve out a niche in an increasingly competitive marketplace.

Foreign carriers have more than doubled their capacity to Myanmar over the last two years, but MAI has cut capacity, leading to under-utilisation of its A320 fleet. MAI only captured a 12% share of Myanmar’s international market in 2013, down from a 19% share in 2012.

MAI has struggled to compete on its core routes as foreign carriers including LCCs expanded aggressively. MAI now faces the prospect of new competition from other local carriers which are seeking to expand into the international market. MAI has generally been Myanmar’s only international carrier for the last two decades.

(CAPA will shortly publish a comprehensive Myanmar Aviation, Tourism and Travel Sector Report. For details please contact info@centreforaviation.com)

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