PAL recorded a drop in market share in its North America business as revenue contributions in 2023 slipped to 38.7 percent compared to 45.1 percent the previous year.
Transpacific flights were the largest revenue contributor last year, followed by Asia and Australia (32.2 percent) and the Middle East (9 percent).
United became the first US carrier to fly direct trips between the Philippines and US mainland when it launched flights from San Francisco to Manila in October last year.
"There is pressure but it’s not something that we’re bothered about. We just have to compete and provide the best service we can to our customers,” PAL president Stanley Ng said during a media briefing on Tuesday.
“The market is really big enough for other carriers but we are stabilizing operations [despite] challenges with our fleet and maintenance,” he added.
“We have seen some decline in our north American market share, however, our performance in North America remains very strong and robust. Our passenger load factor in North America is very strong,” said Alex Featherstone, vice president for revenue management and commercial planning at PAL.
Flyers will also enjoy connectivity via PAL’s airline partners to various US mainland cities, including Chicago, Houston, Las Vegas and Washington D.C.
“We will be the only Philippine carrier and the only Southeast Asian carrier that operates in this market,” said PAL vice president for sales Salvador “Bud” Britanico Jr.
“We expect to be able to get not only point to point traffic but from the interior US as well all the way to the Philippines,” he added.
PAL has been increasing its focus on its profitable long-haul business, where it faces few direct competitors. While fleet size is a constraint, PAL finalized a $3.2-billion order for nine Airbus A350-1000 long-range jetliners, which will be delivered in the coming years.
In North America, PAL flies to Los Angeles, San Francisco, Vancouver, Guam, Honolulu, New York and Toronto.
Seattle is PAL’s sixth destination in the US and the eighth in North America.
Miguel R. Camus has been a reporter covering various domestic business topics since 2009.
