Virgin Atlantic Ends Far East Operations After 25 Years

After 25 years of operation, Virgin Atlantic has announced the discontinuation of its services in the Far East. The last flight between London Heathrow (LHR) and Shanghai Pudong (PVG) is scheduled to take place on October 26.

Initially suspended at the beginning of the pandemic, the route was reinstated on May 1, 2023, before the decision was made to conclude operations. Virgin Atlantic currently operates this route on a daily basis using a Boeing 787-9 Dreamliner.

Juha Jarvinen, Chief Commercial Officer at Virgin Atlantic, stated that the route provided “vital links to one of the UK’s largest trading partners.” However, Virgin has now decided that this route no longer aligns with its business interests.

Photo: Shanghai, China. Courtesy of Li Yang / Unsplash

Shanghai was Virgin Atlantic’s last destination in the Far East, following the termination of routes to Hong Kong (HKG) and Tokyo Narita (NRT) in recent years.

“After careful consideration, we’ve taken the difficult decision to suspend our London Heathrow to Shanghai services, after proudly serving this Asian hub city since 1999,” a Virgin Atlantic spokesperson said.

“Our people and customers in Shanghai have been amazing since we first touched down 25 years ago. Since then, we’ve provided important connectivity between the UK and Shanghai for thousands of customers and supported global supply chains through our cargo operations. However, significant challenges and complexities on this route have contributed to the commercial decision to suspend flying to Shanghai.”

One potential reason for this decision is the decrease in Chinese demand since the pandemic, with many airlines facing similar challenges.

Another issue is Virgin’s disadvantage compared to competitor China Eastern, which flies over Russian airspace, reducing travel time and operational costs. The journey from London to Shanghai with Virgin takes 14 hours and 20 minutes, while China Eastern completes the route in less than 12 hours. This difference impacts fuel consumption, passenger convenience, and staffing requirements.

Photo: China Eastern, Boeing 777-300ER. Courtesy of John McArthur / Unsplash

KLM CEO Marjan Rintel highlighted this issue in a recent interview with travel industry news site Skift: “It’s not a level playing field. It takes another two hours for us, four cockpit crew, and of course, more fuel, which is not the cheapest today. It’s really frustrating and I think it’s harmful for relationships. We are in an international world and an international competition. It’s very hard to have restrictions from Europe or Russia that are not valid for others.”

Virgin Atlantic’s decision follows a similar move by Qantas, the Australian flag carrier, which will operate its last flight between Sydney (SYD) and Shanghai on July 28, citing poor flight demand between Australia and China.

German flag carrier Lufthansa also recently cited poor demand for flights between Europe and Asia as a reason for lowering its earnings outlook for 2024, though it has not yet decided to reduce or cut flights.

Photo: Lufthansa, Airbus A350-900. Courtesy of Munich Airport

Virgin Atlantic, in a statement, acknowledged the disappointment this news may bring to its customers and partners: “Our people, customers, and you, our partners, have been amazing since we first touched down at Shanghai in 1999, providing important connectivity between the UK and Shanghai for thousands of customers and supporting global supply chains through our cargo operations. We understand that this news may be disappointing for you and our mutual customers, and we appreciate your patience and understanding during this time.”

The airline confirmed that customers with bookings on the Shanghai route from October 26 onwards will be offered a refund.