United Could Win Prized China Route with Capital Flight Plan

United Airlines is competing against three other airlines for a new route to China and believes it has the edge because it proposes a non-stop between the nations' capitals.

"It is extraordinary that 28 capitals of other countries, including London, Paris, Tokyo, Moscow and Delhi, all connect directly to Beijing, while the U.S. capital does not," said Glenn Tilton, in a message to employees this week. "This is a unique route case for United as it closes that service gap and provides much-needed capital-to-capital connectivity for our customers, governments, commerce and culture."

United is competing against American Airlines, Continental and Northwest to add a new China route. American proposes a flight from Dallas to Beijing; Continental from Newark, N.J., to Shanghai; and Northwest from Detroit to Shanghai.

Routes to China are highly coveted by big airlines, because China's economic growth presents lucrative opportunities for airlines with service there.

"Everybody's fighting tooth and nail, and there's a limited amount of capacity to China because of the agreement between the two countries," said Jon Ash, president of the airline consulting firm Intervistas-Ga2.

United has four daily flights to China -- both Chicago and San Francisco connect with Beijing and Shanghai. Demand is "very strong" on these flights, said spokeswoman Jean Medina.

United tried and failed last year to win a flight from San Francisco to Guangzhou, the heart of the nation's Pearl River Delta manufacturing center. Instead, the Transportation Department awarded American a non-stop from Chicago to Shanghai.

To build support for its D.C. effort, United has joined an advocacy group called the Capital-to-Capital Coalition, which includes co-chairs James E. Bennett, CEO of the Metropolitan Washington Airports Authority, and Jane Garvey, formerly with the Federal Aviation Administration under Presidents Bill Clinton and George W. Bush.

The Transportation Department could rule on which airline will get the China route by year's end.

Airline consultant Mike Boyd believes United might have the inside track because it proposes a route from the nation's capital, but American also has a strong proposal.

American's proposed route from Dallas would connect China to the Deep South, where there is an abundance of Chinese investment, as well as to South America.

Boyd said Continental and Northwest's bids are also strong. Northwest's challenge is that they already have a lot of Chinese business, but its proposed flight would be its only non-stop route there. "They've been flying to China for 60 years," Boyd noted.

Ash does not see United as a likely winner, since there's already a "fair amount" of East Coast service to China.

News stories provided by third parties are not edited by "Site Publication" staff. For suggestions and comments, please click the Contact link at the bottom of this page.