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Qatar Airways flying high in China market

0 Comment(s)Print E-mail China Daily, November 28, 2024
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Doha-based Qatar Airways said Chinese travelers continue to exhibit strong demand for international travel, which contributed to its revenue growth, and the carrier is bullish on its growth potential in China after operating in the country for over 20 years.

Key Chinese cities like Shanghai; Beijing; Guangzhou, Guangdong province; and Hong Kong continue to show strong demand, particularly in the premium travel segment, the carrier said.

"We are confident in Qatar Airways' growth potential in China. These hubs remain vital for business travelers, and we have seen a robust recovery in premium travel as companies resume international engagements. These cities have maintained their positions as key gateways due to the volume of outbound business passengers," said Thierry Antinori, chief commercial officer of Qatar Airways.

"Our partnerships with China Southern Airlines for flights connecting Doha and Guangzhou and with Xiamen Airlines for Beijing, enabling double daily flights to those two cities, have been further testament to the robust demand," Antinori said.

He said Qatar Airways has observed substantial growth in leisure travel demand from second-tier cities such as Chongqing; Chengdu, Sichuan province; and Hangzhou, Zhejiang province. These emerging cities are becoming popular due to rising disposable incomes of local consumers and their growing interest in international leisure travel.

Currently, the carrier operates 45 flights weekly that connect Doha with seven cities in China, the highest number among foreign carriers from the Middle East, Europe and Africa.

Chinese travelers have shown an interest in visiting overseas destinations such as London, Paris, Barcelona, Athens, Istanbul, Nairobi, New York, Boston, Sao Paulo, Casablanca and Maldives, for both business and leisure travel demand. This has helped drive the business growth of Qatar Airways with direct and connecting flights.

Since China resumed quarantine-free outbound travel in early 2023 after the COVID-19 pandemic, Chinese tourists have traveled to a large number of countries and become the largest source of international travel. Last year, the number of outbound travelers surpassed 87 million, according to a report by the China Tourism Academy (CTA).

This year, outbound tourism has accelerated its recovery, with travelers arriving at an increasing number of destinations, and the number of outbound travelers is expected to reach 130 million, the report projected.

"China's outbound tourism has been an important driving force and stabilizer for the growth of global tourism. The revival and development of the Chinese outbound tourism market will inject strong confidence and momentum to the world," said Yang Jinsong, director of the CTA's international institute.

Qatar Airways said it has been continuously evaluating opportunities to expand its network in China, and it is open to increase flight frequencies to key Chinese cities if demand arises.

"The future growth opportunity will be guided primarily by air transport bilateral agreements between China and Qatar, which dictate the number of flights and routes we can operate. We have fully utilized the maximum number of flights permitted under these agreements," Antinori said.

The carrier's strategic focus also includes leveraging partnerships with major carriers in China. With the codeshare partnership with Xiamen Airlines, Qatar Airways said its capacity for China flights has surpassed pre-COVID levels since late last year. Globally, Qatar Airways has recovered significantly post-pandemic, achieving record-breaking revenue in the 2023-24 financial year.

Meanwhile, global air passenger demand in September, measured in revenue passenger kilometers, grew by 7.1 percent year-on-year and it reached an all-time high for September. All regions showed growth in international passenger markets, according to the International Air Transport Association (IATA).

"The year's peak travel season ended with demand at an all-time high. This is good news not just for passengers, but also for the global economy," said Willie Walsh, IATA's director-general.

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