Air Mekong looks to avoid private airline turbulence

Air Mekong is looking to bite into the established carriers’ markets

“By introducing unique service and focusing on less competitive market shares, the possibility of success is high. I believe in the success of Air Mekong,” said Doan Quoc Viet, chairman of Air Mekong.

The airline said that it would open other routes from Hanoi and Ho Chi Minh City to highland cities of Dalat, Buon Me Thuot and Pleiku, and would also operate the Hanoi-Ho Chi Minh City and Hanoi-Danang routes.

Air Mekong is the third private airline out of four established ones in Vietnam under the Aviation Law. It is now the only one operating in the market in line with three state-controlled airlines Vietnam Airlines, Jetstar Pacific Airlines and VASCO.

Viet said Air Mekong would not be a low-cost carrier like Jetstar Pacific Airline, in which Qantas held a  30 per cent  stake, or private VietJet Air - 30 per cent of which is  held by low-cost AirAsia.

He said Air Mekong would compete with other rivals not only in reasonable fares but also quality and unique services, which he expected would help the airline avoid the fate of bankrupted Indochina Airlines.

“We planned to incur losses within the first one or two years, but we have been carefully preparing for the development of the airline,” said Viet.

Air Mekong hired four Bombardier CRJ900 airplanes as well as 40 pilots from United States-based SkyWest Airlines.

Air Mekong has finished discussions about selling a 30 per cent stake to United States-based SkyWest Airlines, which operates over 1,500 flights per day for United Express, Delta Connection and AirTran Airways, and now it is waiting for the final approval from the government. With the partnership of SkyWest Airlines, Viet said Air Mekong would have enough experience to run the airline safely and profitably.