Air market opening between Taiwan and China: Impact on airport and airline network developments in neighbouring Asia Pacific countries

Scheduled non-stop flights between mainland China and Taiwan have changed the way people travel across the Taiwan Strait. This regulatory change between China and Taiwan has already shaped the aviation market in the Asia Pacific region and has significant implications on several aspects in aviation development. Most notable are airport developments in East and Northeast Asia, airline network development and airline strategic planning. This chapter discusses the importance and significance of this recent change. It begins with a brief introduction to the recent China-Taiwan regulatory changes, followed by an analysis of the evolution of demand and supply for a cross-Strait aviation market due to these changes since 2009.