Philippine Airlines Eyes U.S. Expansion

Philippine Airlines is gearing up for expansion into the United States, with new cities listed as possible options for the carrier.

The Philippine national carrier believes rebuilding its connectivity and thus growing in the North American space is critical to its long-term operations.

As a result, more markets are being added to its network, with Chicago and Houston being unveiled as prospective locations.

While these markets have been listed as prospective ones, ongoing studies suggest that further locations within the United States could be established.

The carrier continues studying locations within the United States, where hundreds of thousands of Filipinos have moved. Moreover, the airline will study the markets with the greatest tourism levels in their home country.

Deliveries of more Airbus A350-1000 jets will make flying an enhanced schedule towards the United States possible. However, the airline hasn’t ruled out the requirement for additional units in the future to facilitate the desire to expand.

Based on fleet data, Philippine Airlines has 67 aircraft listed as active; this includes a commitment to the A350-900, of which just two units are listed as active.

The ageing Boeing 777 fleet leads the primary widebody operation with nine active units. The airline would like to transition towards more efficient jets in the A350-1000.

An appetite for continued expansion within the United States comes from an overall ambition to grow its market share and fend off emerging competition.

Many airlines that call their own countries home outside of the United States and offer Transpacific flying have faced colossal competition from airlines such as United Airlines.

In Australia and New Zealand, this U.S. carrier has expanded considerably in recent years and offered large competition for airlines that call these countries home. This is evident, for example, with Air New Zealand stating that its finances were taking a hard hit because of elements such as this.

Ultimately, Philippine Airlines is seeing something similar with an overall reduction in the market share it holds for flying between its home country and North America, this something it wants to change and believes it can.