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Tuesday, September 10, 2024

CEB defers Manila-Beijing service amid WPS dispute

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Cebu Pacific said over the weekend it deferred the resumption of several flights to China over the soured Philippines-China relations and low demand from Chinese travelers.

This also followed the ban on Philippine offshore gaming operators (POGOs) announced by President Ferdinand Marcos Jr. in his third State of the Nation Address and the escalation of tension in the West Philippine Sea in recent weeks.

Cebu Pacific president and chief commercial officer Alexander Lao said the planned resumption of Manila-Beijing flights would be suspended until further notice.

The resumption of the route was initially scheduled last year, but was eventually suspended. Cebu Pacific also decided not to pursue flights to other parts of China, while expanding its routes to other East and Southeast Asian countries.

“We are not operating, for example, into Xiamen and Shenzhen this winter 2024. So that’s part of our pivot, and you would see that in our announcements anyway,” Lao said.

“We have to be pragmatic as well. Considering the existing relationships between the Philippines and China, it’s better suited maybe for us to redeploy our assets elsewhere and cater to demand where we see it,” he said.

Lao said Cebu Pacific is moving some routes from China to other places such as Chiang Mai in Thailand and Da Nang in Vietnam.

“You’ll see a few more announcements hopefully in the next couple of weeks,” he said.

Cebu Pacific is set to fly from Manila to Chiang Mai on Oct. 29, 2024, the fourth route that the airline will operate in Thailand.

Cebu Pacific also flies from Manila and Cebu to Bangkok, with an option to fly to Suvarnabhumi Airport or Don Mueang International Airport.

Lao, however, expressed hope that the Chinese market would recover. “It’s an important pillar in our tourism, in our tourism numbers, [with] almost two million in 2019,” he said.

The airline expects to carry more than 24 million passengers this year, up from 15.84 million domestic and international passengers in 2023.

Cebu Pacific offers flights to 35 domestic and 26 international destinations spread across Asia, Australia and the Middle East. 

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