Friday, 17 August 2012

Australia to China Flights Increase

China Southern
The Trade and Investment Economic Statistics unit recently prepared a snapshot into Aviation between Australia and Mainland China. The route was serviced by five carriers in the year ended March 2012, and seat capacity between Australia and China has more than doubled over the past 6 years.

As of February this year 22,500 seats per week were available between the two countries, which was increased from the previous cap of 14,500. This was a result of an agreement between China and Australia which allowed airlines to offer additional seats on routes into and out of Sydney, Melbourne, Brisbane and Perth, as long as those flights make stopovers at a regional airports such as Cairns, Broome or Darwin.

The Mainland China Australia route was directly serviced by 5 carriers in the year ended March 2012. Seat capacity between the two countries has more than doubled over the past 6 years.

A Memorandum of Understanding (MOU) signed by the two Governments allowed for an increased number of seats from the previous cap of 14,500 per week to 22,500 per week as of February 2012; it has also allowed airlines to offer additional seats on routes into and out of Sydney, Melbourne, Brisbane and Perth as long as those additional flights make stopovers at a regional airport such as Cairns, Broome or Darwin. Under the MOU,

Australian carriers are able to fly to Mainland China via an extra four intermediate points and to operate services beyond Mainland China to four more destinations of their choice.

Aviation Snapshot – Mainland China
Air China
Year ended March 2012
Over the past six years the total number of seats on the Australia Mainland China route grew from 0.78 million in year ended March 2007 to 1.8 million in year ended March 2012.

In year ended March 2012 Sydney accounted for 1.1 million seats and Melbourne had over 0.6 million seats, which represent 59% and 34% of total available seats respectively.

The number of seats to Brisbane grew from 34,830 seats in year ended March 2011 to 102,170 seats in year ended March 2012. Services to Perth started in November 2011 with 35,220 seats available between Perth and destinations in Mainland China in the year to March 2012.

Sydney's share of seats dropped from 80% in the year ended March 2007 to 59% in the year ended March 2012 as a result of Melbourne's faster growth in capacity and
expansion/growth of services to Brisbane.

Qantas
In the year ended March 2012 Brisbane's share of seats to and from China grew to 6% as a result of China Southern's service between Guangzhou and Brisbane commencing in November 2010, which was extended to cover BeijingGuangzhouBrisbane one year later.

In November 2011 China Southern commenced flights between PerthGuangzhouBeijing (The share of seats for Perth in the year ended March 2012 was 2%).

Four Chinese and one Australian carrier provided services between Sydney and destinations in Mainland China in the year ended March 2012.

China Southern is the main carrier on this route accounting for 37% of the total seat capacity; it provides services between Guangzhou and Sydney.

Air China is second largest carrier servicing the routes Sydney Beijing and Sydney Shanghai.

Qantas is the third largest carrier with 19% of the total capacity, slightly ahead of China Eastern. Both carriers fly between Sydney and Shanghai.

Hainan Airlines was the latest airline to commence services on the Sydney China route, starting in January 2011. In February 2012 the airline suspended its Sydney Shenzhen service, but will resume its service at the end of October 2012 with three or four flights per week BeijingShenzhenSydney return.

Mainland China ranks 7th in terms of seat capacity at Sydney Airport. Seat capacity to and from Mainland China accounts for 6.7% of the total seats available at Sydney  Airport.

Northern Summer timetable 2012: 25th March 27th October 2012

Table 1: Services to and from Sydney
Airline Port in China                  Seats per week             Flights per week
Air China Shanghai                   2,016                           8
Air China Beijing                       2,520                          10
China Eastern Shanghai          4,018                          14
China Southern Guangzhou     6,218                          22
Qantas Shanghai                     4,158                          14
Total                                        18,930                          68

Table 2: Services to and from Melbourne
Airline Port in China   Seats per week    Flights per week
Air China Beijing                       2,520    10
China Eastern Shanghai          3,136    14
China Southern Guangzhou     5,140   20
Total                                        10,796   44

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