Northwest to halt Guangzhou cargo service

[Muskycat]

Northwest to halt Guangzhou cargo service


By Chris Oliver, MarketWatch


HONG KONG (MarketWatch) -- Northwest Airlines will halt freighter services to Guangzhou, the capital city of the provincial area bordering Hong Kong, as of July 1, becoming the latest airline to cut regional flights and roll back services amid record fuel prices, according to a Hong Kong newspaper.

The move will enable Minnesota-headquartered Northwest (NWA:northwest airls corp com
to reduce fuel costs by mothballing the less fuel-efficient planes it currently flies to Guangzhou, the South China Morning Post reported, citing comments by airline officials.
Gilbert Chow, Northwest's Hong Kong general manager, said the South China cargo unit could not operate profitably amid the relentless rise in aviation fuel costs, the paper reported.
Northwest will shift operations to its north China air-cargo hub, operating 12 weekly freighter services between the U.S. and the Shanghai Pudong International Airport.
Word of the suspension of service comes just 18 months after the carrier shifted its freighter operations from Hong Kong to Guangzhou.
Hong Kong carrier Cathay Pacific Airlines (HK:293: news, chart, profile) said earlier this week it is exploring service reductions and the suspension of some routes to offset higher fuel costs. Chinese carriers Air China and China Eastern Airlines have reportedly stepped up their fuel-hedging operations to protect against higher fuel bills.

Chris Oliver is MarketWatch's Asia bureau chief, based in Hong Kong.



http://www.marketwatch.com/news/sto...1-4A57-887B-1500EEC1FCA8}&dist=msr_1#comments

 

[Muskycat]

Is NWA going to actually mothball a few 74's or shift flying to some place else?

 

[NuGuy]

Old news...NWA is going to use the slot for SEA-China service, I believe.

Nu

 

[Cobraair75drvr]

sea-pkg

 

[flap operator]

Actually, the cargo authority is strictly cargo authority and NWA has applied to keep the CAN route dormant. UA has recently applied and been approved to keep their SFO-CAN route that never started dormant for a year. US has also recently applied to postpone their PHL-PEK service for a year... surprise surprise.

The NWA SEA-PEK service starts on March 1, 2009 when the PASSENGER NRT-CAN service is suspended.

 

[RJAA]

It just to show that NW's stuff out in NRT to Asia is not necessary printing money as many would suggest. NW does not have the competitve edge in both pax and cargo when there are handful of quality carriers operate the routes with much better service and schedule.