A Delta Air Lines plane is seen in Florida. File photo: VCG

A Delta Air Lines plane is seen at Shanghai Pudong International Airport on October 25 Photo: Courtesy of Delta Air Lines 

 

Delta Air Lines celebrate successful move to Shanghai Pudong International Airport on October 25 Photo: Courtesy of Delta Air Lines

US-based Delta Air Lines has become one of the first overseas carriers to begin operations at China's Pudong International Airport's new satellite terminal.

The carrier, which is now the largest in the world in terms of revenue, held a ceremony on October 25 to mark its official relocation to S1. The move was made in a bid to improve on-time performance and ensure seamless transfers, as passengers can board all flights from the terminal directly instead of taking shuttle buses.

About 20 percent of Delta's overseas passengers make transfers at Pudong, continuing on to domestic and international flights, Wong Hong, Delta's China and Singapore president, said. "With our strategic partnership with China Eastern Airlines, we hope we can have more passengers for connection."

Delta currently operates four daily direct flights from Shanghai Pudong to major hub airports in the US, including those in Detroit, Seattle, Los Angeles and Atlanta. Through strategic cooperation with China Eastern Airlines, it provides passengers with more than 1,350 domestic codeshare flights per week, covering more than 40 cities in China.

Delta operates two direct flights to the US from Beijing every day, flying to Seattle and Detroit. 

To serve Chinese customers more efficiently, it is expected that in early December of this year, the direct flight route from Shanghai Pudong to Atlanta in the US will utilize the newly modified B777 aircrafts. At that time, all Delta flights from Shanghai to the US will be operated by its flagship A350 aircraft, the new A330-900neo aircraft or the retrofitted B777 passenger aircraft. All models are equipped with the next-generation Delta One Suite and Delta Premium Select seats.

The Beijing Daxing International Airport began operations last month. By winter, 15 carriers will be operating in the new airport, with eight from overseas including British Airways and Malaysia Airlines. Polish Airlines and Finnair will operate in both airports in Beijing. 

When asked if Delta would move to the new airport, Wong said they have not made any final decision as yet. 

"According to the long-term plan, we will definitely be with China Eastern Airlines. But for us, passenger transfer is also very important. If we move to the new airport, we must also consider the passenger's transit demands," he said. 

When Delta flights from the US arrive in Beijing, some passengers need to transfer to codeshare flights with China Eastern Airlines and Shanghai Airlines to other cities in China, he explained. The Daxing airport is relatively far from the Beijing Capital International Airport, so transit needs must be considered. 

Delta's adjusted operating revenue of $12.6 billion for the September quarter improved 6.5 percent, $771 million higher than the same quarter of last year. This result marks a quarterly record for the company, driven by improvements across all Delta's business lines, according to its fiscal report. 

The company, however, said its Pacific revenues declined 4.6 percent during the quarter, with a 3.3 percent higher capacity and a 7.6 percent decline in unit revenues. Unit revenue performance was pressured by weaker macroeconomics, trade uncertainty and a nearly one point currency headwind.

Wong said that the growth rate of Delta's flights in China this year is not as high as it was before. In the past, there had been a growth of around 15 percent every year, but this year's growth is not as high partially due to the weak market demand.