Market Chatter: Thai Airways Sees Travel Demand Moderating This Year
Thai Airways International (BKK:THAI) expects travel demand to moderate this year amid economic uncertainty stemming from the conflict in the Middle East and fare reductions by major carriers, Bloomberg News reported Thursday, citing Chief Executive Officer Chai Eamsir."The consumer has to think twice before spending money, that's why we saw some slowdown in forward bookings coming in," Eamsiri was quoted by Bloomberg as saying.After initially benefiting from the Middle East conflict as travelers sought to avoid Gulf transit hubs, Thai Airways is now facing pressure from lower ticket prices offered by competitors. The carrier has reduced flight frequencies in recent months due to weaker demand and high jet fuel costs, according to the report.Looking ahead, Thai Airways remains optimistic about its long-term growth prospects. Eamsiri said the airline has held discussions with Boeing and Airbus on a potential order for 10 widebody aircraft and plans to retrofit 14 jets with premium economy cabins.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)