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Old December 18th, 2009, 03:35 AM   #421
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Taiwan's China Airlines Hopes To Return To Profit 2010
16 December 2009

TAIPEI (Dow Jones)--China Airlines Ltd. (2610.TW) hopes recovering demand will help Taiwan's largest airline by revenue return to profit next year, after 2009 is set to be its fourth full year in the red.

'There is a pickup in cargo and an overall recovery in demand,' Chairman Philip Wei said at a ceremony for the company's 50th anniversary.

The carrier is likely to report a profit for each of the last three months of the year, President H.H. Sun said, but a loss in the January-September period will still likely result in a full-year loss.

The carrier had a profit of NT$900 million (US$27.8 million) in November and NT$1.5 billion in October, Sun said, without specifying whether he was referring to net profit, and 'we will likely make a profit in December as well.'

A pickup in global demand for exports boosted the carrier's revenue 19% in November to NT$11.04 billion, the highest monthly revenue since August 2008, after a 6.7% drop in October revenue to NT$9.71 billion.

China Airlines posted a net loss of NT$4.99 billion for the January-September period and a 27% drop in revenue to NT$70.63 billion, because of weak passenger demand and depressed air cargo rates.

Sun also said China Airlines hopes to join the SkyTeam alliance next year.

SkyTeam members include Delta Air Lines Inc. , Korean Air Co., and Air France-KLM, with which China Airlines has code-sharing agreements.

'It creates more demand,' Roger Han, China Airlines senior vice president for finance, said.

Sun said he is hopeful negotiators from Taiwan and China will agree next week to increase the frequency and destinations of Chinese direct flights and allow the island's airlines to carry transshipment cargo. Airlines on both sides are now limited to carrying only cross-strait cargo on Taiwan-China flights.

Taiwan's Straits Exchange Foundation and its Chinese counterpart, the Association for Relations Across the Taiwan Straits, will meet next week to sign agreements on fishery cooperation, industry standards certification, agricultural products inspection and avoidance of double taxation, as well as to review existing air traffic agreements.
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Old December 24th, 2009, 08:53 AM   #422
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Air China, La New offer deluxe travel packages
18 December 2009
The China Post

TAIPEI, Taiwan -- A mainland China-based airline and a local travel agency have recently worked together to offer three deluxe travel packages suitable for the winter season.

Air China, an airline which established its first branch in Taiwan this August, aims to promote the beauty of mainland China during the wintertime to local travelers.

In association with the airline is Lamigo International Travel Service Co., Ltd. (Lamigo), a travel agency under the local shoemaker group La New. Each travel package that the two companies have put together is a combination of relaxation, magnificent scenery and fabulous cuisines.

The selected destinations are based on ones that are currently reachable via direct flights from the island's domestic airports.

One of the three packages is a six-to-eight-day trip to the fairytale-like Jiuzhai Valley and Chengdu in southwest China, with emphasis placed on savoring great Chinese flavors, from NT$39,800 per person.

A five-day journey through eastern China from the picturesque Mount Huang to the gorgeous Hangzhou is another choice available from NT$26,900 per person.

Priced at NT$21,900 or more per person, the third package allows travelers to embrace the splendors of China's capital city, Beijing, as well as Tienjin City in the northern part of the country.

According to La New, these travel packages are only available for three months, from Tuesday, December 15 to March 31 next year.

For every traveler who purchases one of the travel packages, NT$3,000 worth of La New coupons will be given; the coupons are applicable for La New's in-season products.

Travelers will also receive one of three gifts provided by La New. The gifts include a thermos bottle and a carry-on suitcase, both worth NT$1,080. There will also be a prize draw, which is planned to take place at the end of March 2010.

Air China's establishment of a branch in Taiwan has represented a step towards an upgraded cross-strait relationship; the joint effort of the airline and Lamigo further enhance it.
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Old December 29th, 2009, 07:36 PM   #423
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Taiwan, China To Add Cross-Strait Flights During Lunar New Year
25 December 2009

TAIPEI (Dow Jones)--Taiwan and China have agreed to sharply increase cross-strait passenger flights during the Lunar New Year holiday in order to meet demand, Taiwan's civil aviation regulator said Friday in a statement.

The arrangement will be in place from Jan. 31 through Feb. 28, Taiwan's Civil Aeronautics Administration said in the statement.

The two sides will be allowed to add 64 round-trip flights on the Shanghai route, 32 flights on the Shenzhen route and 40 flights on the Beijing and Guangzhou routes, the Civil Aeronautics Administration said.

That will add 176 round-trip flights to the 496 originally scheduled for these destinations during the four-week period, providing a total of 403,200 seats, the administration said.

There will be no limit on the number of flights added on other routes, it said.

Carriers will be able to apply to operate the extra flights once regulators on both sides finish determining each carrier's quota and then notify their counterparts on the other side of the strait about the quotas, the administration said.

Five carriers from Taiwan, including China Airlines Ltd. (2610.TW) and EVA Airways Corp. (2618.TW), and nine carriers from China, including Air China Ltd. (0753.HK), China Southern Airlines Co. (ZNH), and China Eastern Airlines Corp. (CEA) operate cross-strait flights.
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Old January 5th, 2010, 11:35 AM   #424
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88 China flights added for Lunar New Year
30 December 2009
The China Post

TAIPEI, Taiwan -- The Civil Aeronautics Administration (CAA) yesterday confirmed that an additional 88 cross-strait flights will be available on each side of the strait for the Lunar New Year holidays, between January 31 and February 28.

According to participating airlines, the prices for flights to Shanghai, Hangzhou, Ningbo and Shenzhen will have a 15 percent discount on the price of the original holiday ticket, whilst remaining destinations, including flights to Beijing, will be priced with a 30 percent discount.

Of all the extra flights, those heading to Shanghai, Beijing, Guangzhou and Shenzhen are restricted in terms of destination. According to the flight allocation of the CAA, during those four weeks, 12 will be Shanghai-bound flights from China Airlines and EVA Air (three extra flights per week). TransAsia Airways will have eight.

For Beijing and Guangzhou, 10 additional flights will be available at China Airlines and EVA. For Shenzhen, China Airlines and Uni Air will each have eight. Other destinations are not limited regarding routes and frequency of additional flights; hence the Civil Aviation Authority said individual airlines on both sides can request additional flights depending on the demand.

As many are most concerned about the cross-strait passenger fares, the CAA has enforced a rule of refusing additional flights if airlines refused to cut flight rates, hence all five airlines have committed to cutting prices for the holiday.

The airlines promised that the ticket fares to Shanghai, Hangzhou, Ningbo and Shenzhen will have (but not exceed) a 15 percent discount. In other words, flights to Shanghai, Hangzhou and Ningbo will cost around NT$20,400, whilst those to Shenzhen will cost around NT$16,000. The remaining airlines will reduce the cost of flights by 30 percent; meaning flights to Beijing will cost approximately NT$23,500 (not including non-airport service charges and fuel surcharges).

However, prices are still much higher than those of direct fares on weekdays. During non-holidays, a month-long round-trip ticket to Shanghai costs between NT$12,000 to NT$15,000 (depending on the airline). It may appear that the fare is discounted, but it is still a lot more than the usual NT$8,000.

According to the CAA, tickets will become available in mid-January, 2010.
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Old January 18th, 2010, 05:30 PM   #425
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Taiwan Songshan Airport To Start Shanghai Flights Late 2010 - Officials
18 January 2010

TAIPEI (Dow Jones)--Flights between Taipei Songshan Airport and Shanghai's Hongqiao International Airport will likely start late this year, officials at Taiwan's civil aviation regulator said Monday.

Flights between Taiwan and Shanghai currently take off and land at Shanghai Pudong International Airport, and Taiwan has been asking China since last year to add flights to and from Hongqiao.

The two sides operate 270 cross-strait passenger flights a week, but China has capped flights to Shanghai at 56 a week because of the congested air space around the city.

The island is still waiting for China to agree to add Hongqiao, said a public relations official at Taiwan's Civil Aeronautics Administration, who declined to be named.

"We also hope they will give us good time slots for Hongqiao," she said, adding any agreement must also be cleared by Taiwan's Straits Exchange Foundation and China's Association for Relations Across the Taiwan Straits.

Taiwan hopes to complete the work to upgrade Songshan late in 2010 before the flights to Hongqiao begin, she said.

An official from the Taiwanese aviation regulator's planning division said the expected traffic congestion around Shanghai during the World Expo from May through October will likely delay the start of flights between the Songshan and Hongqiao airports.

The official declined to be named.
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Old January 25th, 2010, 04:22 AM   #426
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China Seeks Tax-Exempt Documents From Taiwan Airlines - Report
21 January 2010

TAIPEI (Dow Jones)--China's tax authorities have recently told Taiwanese airlines operating there, including China Airlines Ltd. (2610.TW), to produce documents to prove that they are exempt from income and business taxes, the Economic Daily News reported Friday, citing unnamed sources.

The airlines, which could be subjected to a 3% business tax and a 1.25% income tax on revenue and profit generated in the China market if they fail to produce the documents, have turned to the Taiwan government for assistance, the newspaper reported.

China exempted Taiwanese airlines from business and income taxes in December 2008.

However, Taiwan doesn't have a reciprocal tax-exempt plan for Chinese airlines operating in the island, because its legislature didn't approve a law amendment, the report said, adding Chinese airlines are subjected to a 2.5% income tax.
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Old January 27th, 2010, 07:42 AM   #427
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385 extra cross-strait flights for New Year
27 January 2010
The China Post

TAIPEI, Taiwan -- Airlines on both sides of the strait will add 385 extra cross-strait flights throughout February.

Taiwanese carriers China Airlines, Eva Air, Mandarin Airlines, Trans Asia Airways and Uni Airways will add a total of 98 flights between Taiwan to mainland cities including 32 flights to Shanghai, 13 to Hangzhou, six to Ningbo, two to Nanjing, six to Beijing, 16 to Shenzhen, 10 to Guangzhou, 14 to Fuzhou and one to Changdu.

The airlines will begin selling tickets online to Shanghai, Hangzhou, Ningbo and Shenzhen at 9 a.m. today, at prices reduced by at least 15 percent off normal rates. Airfares to the remaining cities will have 30 percent discounts, said Lin Shinn-der, deputy director-general of the Civil Aeronautics Administration.

Nine airlines in China will operate 287 extra cross-strait flights in the same period, including 46 flights by Air China Limited, 30 by China Southern Airlines, 109 by China Eastern Airlines and 31 by Xiamen Airlines.
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Old January 31st, 2010, 04:42 PM   #428
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China Airlines, Eva Air play down tax reports
23 January 2010
The China Post

China Airlines and EVA Air yesterday played down reports that they have been asked to pay taxes to China for earnings made on the other side of the strait.

Airlines from both sides of the strait can enjoy mutual tax preferential treatments, a consensus reached at the second and third meetings of P. K. Chiang, chairman of the Taipei-based Straits Exchange Foundation, and Chen Yunlin, chairman of the Beijing-based Association for Relations Across the Taiwan Strait.

Based on that consensus, China has given Taiwan airlines tax preferential treatment, under which a three percent business tax and a 1.25 percent income tax are waived, as of December 2008.

However, Taiwan hasn't been able to reciprocate China's gesture, as a draft amendment to the Cross-Strait Relations Act, which gives legal ground to the preferential treatment, has not passed the Legislative Yuan. As such, Chinese air and sea operators are subject to a tax for earnings they make in Taiwan.

Dissatisfied, China has asked Taiwanese airlines, including China Airlines and EVA Air, to pay back taxes that accumulated starting in December 2008, the United Daily News reported, yesterday.

China Airlines has already applied for a deferment of the tax with Chinese authorities, it said, adding the company's financial operations have not been affected at this stage.

The company has also filed grievances with supervisory agencies on both sides of the strait to resolve the issue.

EVA Air, meanwhile, said it has not been asked to pay taxes to China. However, the airline said it has not received official documents on a waiving of the tax. Without those documents, EVA Air cannot wire earnings it has made in China back to Taiwan, it said, adding this will create inconveniences at its China operations.
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Old February 11th, 2010, 07:36 AM   #429
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TAIWAN CRIES FOUL OVER UNFAIR CROSS-STRAIT FLIGHT ARRANGEMENTS

TAIPEI, Feb. 4 Asia Pulse - Taiwan's transportation minister has cried foul over China's unfair treatment of Taiwanese carriers in allocating additional cross-Taiwan Strait flights during the upcoming Lunar New Year holiday.

"China has not treated our carriers fairly in allotting additional cross-strait flights during the Lunar New Year holiday. Chinese carriers are allowed to operate far more extra flights than Taiwanese airline companies, " Minister of Transportation and Communications Mao Chi-kuo said Tuesday.

Taiwanese and Chinese carriers will operate a total of 350 additional flights during the Feb. 13-21 Lunar New Year holiday.

Of the amount, 252 flights have been allocated to Chinese carriers, while the remaining 98 were allocated to Taiwanese carriers.

"The more-than-two-fold gap is very regrettable and extremely unfair to our carriers," Mao said.

The imbalance resulted from a different approach by the two saides to carrier applications for extra flights, airline sources said.

While Taiwan's authorities agreed to Chinese carriers' applications for extra flights as long as they complied with local regulations, the sources said, China rejected a number of requests by Taiwanese carriers on technical grounds, brandishing the excuse that its flight routes were overcrowded.

An indignant Mao described Beijing's action as a "technical contradiction" in its flight allotment.

Even more ugly and outrageous, Mao said, is that many of the additional flights allocated to Taiwanese carriers will land or take off at around midnight or in the early hours of the morning in popular destinations such as Beijing and Shanghai.

This year's Lunar New Year festival is the first since the two sides opened regularly scheduled non-stop flight services, and Mao said this year's experience should serve as a new starting point for future cross-strait negotiations.

"Similar unfair treatment for Taiwanese carriers should never happen again," he said.
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Old February 22nd, 2010, 11:43 AM   #430
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Taiwan wants more cross-strait flights
China has added about 300 flights for the Lunar New Year holiday, so officials say there's no reason regular cross-strait flights cannot be increased

3 February 2010
Taipei Times

Minister of Transportation and Communications Mao Chi-kuo said yesterday that China could no longer use technical reasons to cap the number of cross-strait flights because it has managed to add close to 300 additional flights for the Lunar New Year holiday.

"In the past, whenever we talked about the possibility of increasing the number of cross-strait flights, they always used technical reasons to stop us from doing so," Mao said.

"We only approved 98 additional flights this time. They, on the other hand, approved about 300 additional flights, three times more. The excuse they gave us is no longer valid," he said, adding that the time slots the Civil Aviation Administration of China gave Taiwanese airlines were "awful."

Mao said he has asked the Civil Aeronautics Administration to negotiate with its counterpart on when to announce the schedules for the additional holiday flights, because the airlines have complained that China was late in approving the schedules and has left them hardly any time to relay the information to consumers.

Civil Aeronautics Administration Director-General Lee Lung-wen said yesterday that his agency would start negotiating with China about adding more flights after the Lunar New Year holiday.

Eighty percent of the seats on the additional flights for the second and third weeks of this month have been sold.

"We hope that cross-strait negotiations could follow the principle of faith and trust, and they can increase the flights based on the actual market demand," Lee said.

Both sides have capped total cross-strait flights at 270 per week. However, Chinese and Taiwanese airlines are allowed to provide additional flights for national holidays, including the Lunar New Year, Tomb Sweeping Day and Mid-Autumn Festival.

Meanwhile, Mao said the Tourism Bureau would soon negotiate with China about Chinese tourism issues.

Bureau statistics showed that the number of overseas tourists increased by 14.3 percent last year, the highest among Asian countries.

Japan remained the No. 1 source of tourists with about 1 million Japanese visiting last year. China was second with 900,000 visitors.

"I have heard from cab drivers or shop owners that they have not had any Chinese tourists. My answer to their questions is that they need to look at this with a normal attitude," Mao said.

Even though about 1 million Japanese visited last year, people did not feel that Japanese tourists were everywhere, he said.
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Old February 25th, 2010, 03:49 AM   #431
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Taiwan Hopes To Double Cross-Strait Flights To 540 A Week - Report
2 February 2010

TAIPEI (Dow Jones)--Taiwan hopes to double the number of cross-strait flights each week to at least 540 from 270 now, the Economic Daily News reported Wednesday, citing Lee Long-Wen, director general of the island's Civil Aeronautics Administration.

Taiwan and China plan to begin talks after the Lunar New Year holiday in mid-February on the matter, the report said.

They also plan to discuss starting direct flights between Taipei Songshan Airport and Shanghai Hongqiao Airport, the report added.
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Old March 5th, 2010, 09:57 AM   #432
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Direct cargo flights to open between Taiwan, Jiangxi
4 March 2010
Copyright 2010 China Daily Information Company. All Rights Reserved.

East China's Jiangxi province will have direct cargo flights to Taiwan as of March 8, cutting transportation time from three days to 100 minutes, said local authorities on March 3.

The weekly flight would link Changbei International Airport, Nanchang, capital of Jiangxi, with Taoyuan International Airport of Taipei, according to a statement by Changbei International Airport.

According to the statement, the cargo flight service would be operated by China Eastern Airlines Co. Ltd Jiangxi Branch. The flight would go and return every Monday, carrying up to 4 tons of cargo together with 158 passengers for a single trip.

China Eastern Airlines Co. Ltd has set the cargo transportation fee at five yuan ($0.732) per kilogram, nine yuan less than the indirect flight fee.

Taiwan is Jiangxi's second largest export destination in Asia with a total export value of 480 million US dollars in 2009.

Locals love Taiwan fruits and other products, but because of their high prices, many people can not afford them. Now with the direct cargo flight due to bring down the costs, Taiwan products would become very popular in Jiangxi, said a Nanchang Customs official.

Direct passenger flights between Jiangxi and Taiwan were launched on September 3, 2009.
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Old March 10th, 2010, 07:45 PM   #433
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Taiwan President: Songshan-Hongqiao Flights To Start In Oct
10 March 2010

TAIPEI (Dow Jones)--Flights between Taipei Songshan Airport and Shanghai's Hongqiao International Airport, and between Songshan and Tokyo's Haneda Airport, are expected to start in October, Taiwan President Ma Ying-jeou said Wednesday.

The new routes will boost tourists from Japan and elsewhere, Ma said, according to a statement from the ruling Kuomintang party. Ma is also chairman of the Kuomingtang.

Taiwan hopes the number of visitors will exceed 5 million next year and the value of the tourism industry will reach NT$500 billion, Ma said in the statement.

The number of tourists to Taiwan rose 14.3% last year to 4.4 million, boosted by tourists from China.

Flights between Taiwan and Shanghai currently take off and land at Shanghai Pudong International Airport, and Taiwan has been asking China since last year to add flights to and from Hongqiao.

The two sides operate 270 cross-strait passenger flights a week, but China has capped flights to Shanghai--the most popular destination-- at 56 a week because of the congested air space around the city.

Taiwan is currently working to upgrade Songshan Airport, which was previously used only for domestic flights.
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Old March 15th, 2010, 01:40 PM   #434
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Immigration agency to review daily quota of Chinese tourists

Taipei, March 13 (CNA) The National Immigration Agency will hold a cross-agency meeting Monday to review the quota system used to regulate the entry of Chinese tourists, following requests by tourism operators to increase the quota and shorten visa processing times.

The immigration agency currently issues a maximum 4,311 exit and entry permits to visitors from China per day, and it takes five days to process the application.

During holiday seasons, with authorization from the Ministry of the Interior, the agency can issue up to 6,000 permits per day, according to an agency spokesman.

The immigration agency has found that some travel agents failed to observe the regulations and arranged for Chinese visitors to enter without exit and entry permits. The practice posed a dilemma for the agency, because it was forced to send back the undocumented visitors to China aboard the same airplane in which they came.

On March 10, for instance, a group of 24 Chinese tourists aboard a Hainan Airlines flight arrived at Taoyuan International Airport without exit and entry permits.

Resisting being sent home, the Chinese tourists expected that they would be granted permits on the spot, but the immigration office did not make an exception for them, and the group was sent back hours later.

More recently, representatives of some local travel agencies arranged tours to Taiwan for Chinese visitors starting Thursday and Friday even though their exit and entry permits were still being processed.

They visited the immigration agency on Friday and pleaded for earlier issurance of the permits, on the same day as the application was submitted if possible.

Stating the government's policy to welcome Chinese visitors and the requirement that visitors should follow the regulations, National Immigration Agency Director-General Hsieh Li-kung told aviation companies and travel agencies that the government will enforce the regulations strictly.

Hsieh pointed out that the quota was decided by related agencies on both sides of the Taiwan Strait and said it could be revised after travel sector associations in China and reach an agreement to make an adjustment.

Monday's meeting will serve to gather opinions of local tourism operators so that possible revisions can be recommended, if necessary.
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Old March 15th, 2010, 09:11 PM   #435
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If The National Immigration Agency increase the quota ceiling to 100,000 per day, I guess China would just send PLA instead. lol


Good work here, hkskyline !
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Old March 16th, 2010, 05:14 AM   #436
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I guess they're still very cautious about mainland visitors!
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Old March 17th, 2010, 09:41 AM   #437
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Airlines seek more Shanghai flights
China wants Taiwanese carriers to fly to more second-tier cities, not just the big ones. However, no Chinese airlines want to fly to Hualien
17 March 2010
Taipei Times

Domestic airlines yesterday urged the Chinese government to increase the number of cross-strait flights to Shanghai and other large cities in China.

They also urged civil aviation authorities in Taiwan and China to resolve outstanding issues on airworthiness certification for cross-strait flights.

Because Taiwan has yet to acknowledge the validity of airworthiness certifications issued by the Civil Aviation Administration of China (CAAC), and vice versa, Taiwanese airlines have to fly their own staff to China to certify the airworthiness of each airplane.

"If any of our aircraft have to be repaired in China, officials at Taiwan's Civil Aeronautics Administration [CAA] have to approve the qualifications of the company and the maintenance workers' aptitude before granting a certificate," said Tony Su, chairman of the Taipei Airlines Association.

The airlines made the suggestions at a cross-strait aviation forum yesterday.

China Airlines chairman Philip Wei, EVA Air chairman Solomon Lin and the heads of three other domestic carriers, attended the meeting.

Civil Aviation Administration of China Deputy Director Xia Xing-hua attended the forum in his capacity as the senior consultant of the China Air Transportation Association.

While Taiwanese airlines requested an increase in the number of flights to first-tier cities such as Shanghai, Beijing and Guangzhou, Xia said that the airlines should strive to expand the number of flights to second-tier cities.

Xia said Chinese airlines brought about 1.2 million passengers to Taiwan last year, while Taiwanese carriers delivered 1.75 million passengers to China.

He said the Taiwanese airlines focused mainly on flights to the first-tier cities among the 31 Chinese cities open to cross-strait flights.

Air traffic to second-tier cities, such as Chengdu, Tianjin, Kunming and Nanjing, was increasing as well, he said.

Asked if China would increase the number of flights to Shanghai in May because of the Shanghai Expo, Xia said: "[China] will consider all the possible scenarios and might increase flights."

Su said the Taiwanese airlines would evaluate the demand for flights to second-tier cities, but he noted that although Taitung and Hualien are open to cross-strait flights, no Chinese airlines have applied to service those airports.

Regarding increasing the number of direct flights between Taipei Songshan International Airport and Shanghai Hongqiao International Airport, Xia said the airport in Taipei was in the process of expanding its facilities and was not currently able to accommodate larger aircraft.
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Old April 8th, 2010, 11:56 AM   #438
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Taiwan's China Airlines To Cut Prices 20% On Flights To 4 China Cities
7 April 2010

TAIPEI (Dow Jones)--Taiwan's China Airlines Ltd. (2610.TW) said Wednesday it will cut economy-class ticket prices by 20% on direct flights to the Chinese cities of Beijing, Shanghai, Guangzhou, and Shenzhen from April 16.

'Although airlines haven't recovered completely from the impact of the global financial crisis, operations are gradually turning around thanks to the improving global economy,' China Airlines said in a statement.

The company decided to cut prices on the routes to meet consumer expectations, and also because it posted a small profit in the first quarter, said a company public relations official, who declined to be named.

Cross-strait flights account for 11%-12% of China Airlines' overall revenue, the official said. China Airlines operates direct flights to 13 destinations in China.
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Old April 12th, 2010, 05:15 AM   #439
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TransAsia Airways cuts ticket prices to Shanghai
9 April 2010
Taipei Times

TransAsia Airways said yesterday that it would cut its ticket prices for direct flights from Taipei or Taichung to Shanghai by 20 percent from Friday next week.

At present, a three-month advance ticket costs NT$19,000 (US$602). After the new price is introduced, the same flight would cost NT$15,200.

The announcement came a day after China Airlines Ltd (CAL, ) reduced its tickets prices for flights to Shanghai, Beijing, Guangzhou and Shenzhen by about 20 percent.

In a statement on the carrier's Web site on Wednesday, CAL said the new price plan, which applies to 26 weekly flights departing from or landing at Taiwan Taoyuan International Airport or Kaohsiung International Airport, would take effect on Friday next week.

The price reductions by TransAsia and CAL are for passengers flying economy class.

TransAsia said its flights to Shanghai cost about NT$200 less than those offered by CAL.

EVA Airways Corp, meanwhile, said it would cut prices by between 11 and 20 percent, also starting next Friday.

Figures released by the Civil Aeronautics Administration (CAA) showed that CAL and its subsidiary Mandarin Airlines, accounted for 48.4 percent of the cross-strait market.

EVA Airways and Uni Airways Corp collectively hold a 39.8 percent share of the market and TransAsia 11.8 percent.

CAA Director-General Lee Lung-wen said it was only a matter of time before all carriers followed suit.

"The airline companies fulfill their social responsibilities and align themselves with public opinion, which is commendable," Lee said.

He said that cross-strait flights were still more expensive than other flights because of the small amount of departures.

"The number of flights between Hong Kong and Shanghai is four times that between Taipei and Shanghai, and the number of flights between Hong Kong and Beijing is seven times that between Taipei and Beijing," Lee said.

"If we had as many flights as are available between Hong Kong and Shanghai, or between Hong Kong and Beijing, prices would naturally drop," Lee said.

So far, the demand still exceeds supply, he said.

Taiwan and China planned to hold negotiations on cross-strait flights this month, but Lee said the talks could be postponed until next month.
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Old April 23rd, 2010, 06:12 PM   #440
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China Eastern Airlines To Cut Prices For Taiwan, China Flights - Report
14 April 2010

TAIPEI (Dow Jones)--China Eastern Airlines Corp. (CEA) plans to reduce prices for flights between Taiwan and China by as much as 20% to increase its share of cross-strait passenger flights, the Commercial Times reported Tuesday, citing unnamed company officials.

The airline will cut ticket prices from Toayuan, Taiwan, to Shanghai to CNY2,000 from CNY2,500, the newspaper cited the officials as saying.

Newspaper Web site: http://ctee.com.tw
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