A new battle in the low-fare carrier market is under way in Thailand, reports David Fullbrook. Malaysia's AirAsia is pitting its off-the-shelf no-frills model against the simpler strategy of Orient Thai Airlines' One-Two-Go, with both now operating services in Thailand and to Malaysia. Asia's barriers to new carriers, especially on international routes, make this clash, closely watched by other low-fare carriers starting up around Asia during 2004, especially significant. One-Two-Go contrasts starkly with typical low-fare carriers flying Boeing 737s, operating six Boeing 757-200s and adding eight Boeing MD-82s by mid-2004. Expected loads and frequencies should make the aircraft more profitable. "The 757 has at least 80 seats more than the 737 classics, but on the fuel burn it's 1,000 kg less than the 737 per hour," says Udom Tantiprasongchai, managing director of Orient Thai.
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