Portland's only flight to Asia at risk, Delta says

High-level negotiations over access to a Tokyo airport could cost Portland its only direct flight to Asia, cutting off Oregon's most direct route to Pacific Rim trading partners.

Delta Air Lines, which operates Portland's daily flight to and from Tokyo, said proposed changes to the Japanese capital's unusual two-airport setup threatens the viability of its hub there and could force it to cut flights, including Portland's.

The route has connected Portland International Airport with Asia for more than a decade, and Portland businesses have come to rely the link.

"The Delta direct connection to Tokyo is critical," said Ryan Frank, a spokesman for Business Oregon, the state's economic development agency. "It supports our over-three-decade relationship with Japan as a trading partner and business partner."

Narita International Airport is Tokyo's main stop for international flights, including Delta's to and from Portland. 

But Japanese officials have proposed opening the Tokyo Haneda Airport, a primarily domestic airport located closer to the city center, to a limited number of international flights.

The close-in Haneda would be a more attractive destination for most passengers whose final destination is Tokyo, Delta says. But it would siphon customers from its Narita hub, undermining the hub's viability and likely forcing it to end flights from cities including Portland and Minneapolis.

At the same time, Japanese officials haven't agreed to open up enough take-off and landing slots to move the hub altogether, Delta said.

American officials have been pushing for Haneda to be opened to U.S. airlines, but they've previously argued that an opening should provide enough capacity for airlines to compete. They've previously resisted a counter-proposal for a limited opening, but Delta says the departments of Transportation and State have recently changed their position.

"You have to question whether what the (state and transportation departments) are proposing is in the public interest," said Delta special counsel Ben Hirst. "Delta will end up as a small and insignificant player. To the extent we can fly to Haneda, that's what we'll fly."

United Airlines and American Airlines, which partner with All Nippon Airways and Japan Airlines, respectively, would capture a much larger share of the U.S.-to-Tokyo travel market.

No agreement has been reached, though the U.S. Transportation Department acknowledged in a statement that it had made "significant progress" toward expanding access to Haneda Airport during three days of negotiations in early December.

Delta has garnered support from 16 U.S. senators, including Ron Wyden and Jeff Merkley of Oregon, who signed onto a letter arguing against a limited opening in November.

The Portland-to-Tokyo link opened in 2004 under Northwest Airlines, and the Port of Portland kept it going with a $3.5 million subsidy in 2009, when economic recession had curbed on air travel. It now operates without subsidies, and the Portland market is the smallest to boast direct flights to both Asia and Europe.

The daily flights run at nearly 90 percent capacity, and it carries a high number of local passengers for a market its size, Delta said.

Even so, it's not likely that United or American would add their own Portland-to-Tokyo route if Delta's went away.  

 "We have, for many years, punched above our weight in links in both directions," said Curtis Robinhold, deputy executive director at the Port of Portland. "This would certainly hurt us in a pretty big way going across the Pacific."

-- Elliot Njus

enjus@oregonian.com503-294-5034@enjus


Source: Portland's only flight to Asia at risk, Delta says

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