New Delhi, Nov 3:
AirAsia co-founder and aviation entrepreneur Tony Fernandes has ruled out any prospect of re-entering India’s domestic commercial airline market, clarifying that the carrier has zero intention of launching fresh domestic operations in the country. Fernandes remarked that India’s domestic skies have evolved into a mature, well-served arena that no longer requires AirAsia’s domestic presence.
Reflecting on the airline’s earlier domestic joint venture before selling its remaining stake to the Tata Group, Fernandes acknowledged that operating in the Indian domestic ecosystem proved to be financially demanding and regulatory complex. He noted that established domestic operators such as IndiGo, SpiceJet, and the merged Tata airline network possess substantial market penetration, making independent low-cost domestic re-entry unfeasible.
Despite exiting domestic operations, Fernandes emphasized that India remains a cornerstone of the airline group’s international network strategy. AirAsia continues to operate direct international flights connecting 20 Indian cities to its major hubs across Malaysia, Thailand, and Southeast Asia, with plans to expand regional passenger feeder connections as new international routes, including potential Gulf links, are activated.
Addressing global aviation headwinds, Fernandes pointed out that rising jet fuel prices have inevitably elevated ticket costs across the industry.