Jetstar targets North Asian JV
Jetstar CEO Bruce Buchanan stated the airline is “in the final stages” of negotiations with more than one Asian carrier to launch an LCC joint venture, with a geographic focus on North Asia (Australian Financial Review, 28-Jan-2011). Targetted regions include Japan, South Korea and China, where LCC penetration remains relatively low. Mr Buchanan stated talks with JAL for the launch of an LCC JV were “progressing”, although he added “things in Japan take some time”. Mr Buchanan added that possible higher terminal charges at Singapore Changi and congestion at the airport, causing longer turnaround times, is expediting efforts to look for another hub in Asia.