Manila: Philippine Airlines (PAL) is setting its sights on new horizons, targeting Chicago, Houston, and Las Vegas in a bold move to reassert its dominance in trans-Pacific travel.
This ambitious expansion, slated for 2025, comes as the flag carrier seeks to capitalise on the momentum of its new, in-demand routes to the US West Coast.
Fuelling this resurgence is PAL's recent launch of non-stop flights to Seattle from Manila, a key milestone in its growth strategy.
The thrice-weekly service, operated by the Boeing 777-300ER, adds Seattle to the airline's growing list of US destinations, which already includes San Francisco, Los Angeles, New York, Guam, and Honolulu.
PAL's expanding network of trans-Pacific routes signals its ambitious growth plans.
New aircraft orders
PAL Vice President for Sales Bud Britanico told local media that the expansion hinges on the delivery of nine Airbus A350-1000 widebody aircraft.
The airline is doing due diligence on the destinations including Illinois and Texas, which host significant Filipino populations. Census data reveals approximately 200,000 Filipinos in Texas and 160,000 in Illinois.
Nevada, particularly Las Vegas (LAS), home to about 170,000 Filipinos, also remains a key consideration. The airline previously operated flights to Las Vegas until 2012, when it downscaled its network.
Britanico suggested Chicago, Houston, or Las Vegas as possible new hubs for PAL's US operations, but explained that aircraft availability would be the deciding factor. PAL previously served Las Vegas via Vancouver but discontinued the route for efficiency.
Competition from US carriers
PAL faces increasing competition, notably from United Airlines (UA), which restarted direct US flights in 2023. Its market share for US and Canada flights dropped to 47 percent in 2023 from 65 percent in 2022.
To counter this decline, PAL aims to increase flight capacity and expand route options, offering travelers greater flexibility.
Earlier this month (October 2024), PAL launched its non-stop Manila-Seattle flights, establishing the only direct service from the Philippines to the American Midwest.
Load factor
PAL reported 80 to 90 percent load factors for the Seattle-Manila sectors.
In addition, PAL continues its interline partnership with Alaska Airlines, the Seattle-based mainline US carrier, to offer more convenient connections to cities across the US, including Chicago, Las Vegas, Washington DC, Houston, Portland, Anchorage and other destinations served by Alaska Airlines.
More Australian flights
Meanwhile, PAL has also strengthened its Australian presence with an offering of 22 weekly flights to Australia.
The airline has announced the introduction of a seventh weekly non-stop frequency from Manila to Brisbane from October 27, 2024.
This adds to its current daily flights to Brisbane, daily flights to Sydney, five weekly flights from Melbourne and three weekly flights from Manila to Perth.