Boeing Co yesterday predicted air traffic to and from Northeast Asia to grow at an annual rate of 2.6 percent in the next two decades and that regional airlines will need 1,450 new airplanes valued at more than US$310 billion to keep up with the rising demand for this year to 2034.
Carriers of the Northeast Asia region, which encompasses Japan, Korea and Taiwan, have maintained resilient growth despite the current economic downturn, the company said at a media briefing in Taipei.
“Wide-body airplanes continue to be the heart of the Taiwanese market and that trend will continue as new airplanes such as the 777-300ER and in the future, 787 Dreamliners enter into service,” Boeing Commercial Airplanes vice president of marketing Randy Tinseth said.
About half of the new airplane deliveries for Northeast Asia are small to medium-sized widebody airplanes, such as the 787 and 777, while another 43 percent are likely to be narrow-body airplanes, such as the Next-generation 737 and 737 MAX, Tinseth said.
“Major airport hubs in the region, including Tokyo, Seoul and Taipei, have added more than 80 destinations over the past 10 years. During that span, seat counts per flight have been reduced in each city. Clearly the market is trending towards smaller, more efficient airplanes with more frequent service between cities,” he said.
Although low cost carriers in Northeast Asia have recorded double-digit growth in flight frequency since 2010, conventional airlines still maintain their hold on the market share, Tinseth said.
“We are also watching closely how rapid development in high-speed rail systems in China and throughout Asia will affect demand for passenger flights,” he said, adding that the company is still mulling over offering smaller short-haul regional aircraft.
The US company also confirmed that it is in the midst of finalizing a purchase of 24 787-10 Dreamliners and two 777-300 Extended Range, and that the process would be completed in a matter of weeks.
Tinseth said that the rising competitiveness of aerospace suppliers, such as Aerospace Industrial Development Corp (AIDC, 漢翔航空工業) who have said they need to cut prices by about 10 percent each year or risk losing orders, reflects what has been exacerbated by wide swings in foreign exchange rates.
“We must all do more with less,” he said.
Gogoro Inc (睿能創意) yesterday launched its first electric bicycle, the Gogoro Eeyo 1, in Taiwan, after unveiling the bike in New York in late May and in France on Tuesday. The company said it would also introduce the series in other European countries such as Germany and the Netherlands. The “Eeyo project” is the fourth of Gogoro’s eight projects that concentrate on smart transportation, which includes Gogoro’s electric scooter, battery swap system and electric scooter sharing service, company founder and chief executive officer Horace Luke (陸學森) told a media briefing in Taipei. “There are various types of city commuters. We will not
EXPERIMENTAL DRUG: While news about a COVID-19 vaccine is more eye-catching, developing a treatment would be more viable, the Senhwa boss said Senhwa Biosciences Inc (生華科) aims to raise NT$1.5 billion (US$50.57 million) by issuing 15 million new common shares in the third quarter of this year to fund the research of new drugs, including the experimental drug Silmitasertib for the treatment of COVID-19, the company said on Monday. That would be the firm’s largest fundraising effort after it raised more than NT$1.4 billion from an initial public offering on the Taipei Exchange (TPEX) in April 2017, chief financial officer Sarah Chang (張小萍) told the Taipei Times by telephone. The price of the new shares would depend on the firm’s average share price
NOT A PANACEA: Offering 5G services would not solve the problem of declining telecom incomes, chairman Sheih Chi-mau said, expecting a flat 5G telecom revenue Chunghwa Telecom Co (中華電信) yesterday became the nation’s first telecom to debut its 5G services, offering tiered tariffs that include a threshold of NT$599 and flat rates, as it aims to switch half of its subscribers to the 5G network within three years. Subscribers would have unlimited data transmission for monthly fees starting at NT$1,399 — the same flat rate as when the company launched its 4G service in 2014 — and they can subscribe to the highest-rate plan for NT$2,699 per month for faster data transmission speeds and larger bandwidth, the company said. Data transmission speeds would be within the range
ROW: A probe would determine if the rights of shareholders who were not allowed to vote yesterday had been violated, while the stock exchange also wants answers The election of board directors yesterday at Tatung Co (大同) sparked controversy after the company blocked some institutional and individual shareholders from participating in the general shareholders’ meeting, prompting the Financial Supervisory Commission (FSC) to announce that the vote would be investigated. Lin Kuo Wen-yen (林郭文艷) was re-elected as chairwoman of the household-appliance maker’s nine-member board, but prior to the vote she announced that several shareholders would not have voting rights. They were being denied a vote because they had contravened the Business Mergers and Acquisitions Act (企業併購法), and the Act Governing Relations Between the People of the Taiwan Area and