CPA hopes to tap other carriers to serve Taipei

The Northern Marianas will lose a monthly average of 567 visitors as a result of Mandarin Airlines’ decision to temporarily suspend its Taiwan-Saipan flights beginning March 24.

However, the Commonwealth Ports Authority will keep its doors open to any airline companies that may be willing to serve the route, said Executive Director Carlos H. Salas.

Mr. Salas said the suspension of flights was more of a by-product of the ongoing economic slowdown in Taiwan. He added that not even pledges of intensified tourism promotions from the CNMI government could make Mandarin Air change its mind.

The Northern Marianas is projected to lose more than 1,700 visitors from Taiwan between March 24 and June, or during the period which Mandarin Air would stop flying the Saipan-Taipei route.

“It is out of our hand, we tried everything to help them, but it is unfortunate that we’re not able to provide them assistance at this point,” explained Mr. Salas.

But he assured other carriers interested to fly between Saipan and the Taiwanese capital that CPA and the CNMI government would be providing assistance to carve a reputation for Saipan as the next best tourism destination for the country’s travelers.

CPA is also confident Mandarin Air will honor its commitment to resume its Saipan-Taipei flights once operational maintenance required by Federal Aviation Administration is completed.

In addition, during the off-season, Mandarin will be able to upgrade its fleet to also serve Taiwan. Once everything returns to normal, Mandarin will have CPA’s full support, Mr. Salas said.

Mandarin Air has disclosed plans to cancel its flight operations to Saipan due to revenue losses since the termination of charter agreement with Tinian Dynasty Hotel and Casino in November last year.

Mandarin Air Saipan Station Manager Charlie Ling said Saipan-Taipei flights will be suspended beginning March 24 until June this year to prevent more losses, projected to reach $20,000 per roundtrip.

The carrier decided to suspend operations despite the recent signing of an agreement with Mobil Oil Marianas, granting a 10-cent reduction on aviation fuel for the carrier beginning May.

The suspension also came amid pledges made by the CNMI government in terms of releasing about $100,000 in additional funds to finance tourism promotion in Taiwan.

The additional funds for promotions and Mobil Oil’s decision to cut aviation fuel rate for Mandarin Air apparently failed to convince the carrier to sustain its Saipan services mainly because of the $12,000 losses incurred each flight since November last year.

Mandarin Air has a fleet of Boeing 737-800 aircraft. It services the Taipei-Saipan route with about nine flights per month.

With Mandarin Air’s decision to temporarily suspend its Saipan services, the Northern Marianas will lose about 30 flights and more than 4,300 tourists.

In January, Mandarin Air enplaned 822 passengers and deplaned 708 while February enplanement reached 886 and deplanement, 872. Mandarin Air records disclosed an estimated 62 percent and 65 percent passenger load for the last two months.

The continued economic recession and rising unemployment in Taiwan have aggravated the declining tourism market. Mandarin Air decided to suspend operations from March to June because these months are believed to be the leanest and slowest season for tourism.

Mandarin Air also assured that the flight suspension is only temporary to prevent aggravated revenue losses and that flights will resume after maintenance operations during summer season. (EGA)