Japan's budget airlines have flown into turbulence with AirAsia's local carrier in danger of being grounded, but analysts say the popularity of discount flying should keep the fledgling sector in the sky.
Earlier this month, Malaysia-based AirAsia warned it might pull the plug on its partnership with All Nippon Airways (ANA), citing management tensions.
While details of the dispute remain unclear, AirAsia, the region's dominant budget carrier, said its Japanese business was "facing some challenges attributed to a difference of opinion in management, most critically on the points of how to operate a low cost business and operating from Narita."
It added that AirAsia Japan was suffering from an "inability to manage costs."
A key constraint on the country's budget carriers is that they have been shut out of Haneda Airport, just a short train ride from downtown Tokyo and the staging point for the most profitable domestic routes, which are controlled by ANA and rival Japan Airlines (JAL).
Flying out of Narita International Airport requires a one-hour train ride from the city center, a long-standing headache for travellers, including passengers with AirAsia Japan and Jetstar Japan, a joint venture between JAL and Australia's Qantas.
The Japanese aviation industry has long been notorious for sky-high landing fees and fuel taxes, in a market that was controlled for decades by JAL and ANA, the country's two dominant carriers.
The Diet passed a bill Friday aiming to promote the role of women in the workplace, along with greater female participation in the economy at a time when the country's population is expected to shrink further. (Japan Times)
Japan criticized China's official Xinhua News Agency on Friday for having demanded an apology from Emperor Akihito over Japan's wartime acts, saying such a claim was "extremely discourteous to His Majesty the Emperor." (Kyodo)
Japanese Prime Minister Shinzo Abe is likely to be reelected president of the ruling Liberal Democratic Party as early as Sept. 8, as no one apparently plans to challenge him, it was learned Thursday. (Jiji Press)
A bogus smartphone tip spreading through tweets is causing a headache for the National Police Agency as users have been tricked into dialing the emergency number 110 in at least 22 prefectures. (Japan Times)
An American man arrested earlier this month in connection with the death of a Japanese woman whose body was found off the coast of Miura, Kanagawa Prefecture, is expected to face another arrest warrant shortly, this time for killing the woman, an investigative source said Wednesday. (Japan Times)
Koji Yamada, the 45-year-old man who was arrested in Osaka Prefecture last week for abandoning a girl's body, was questioned by police in Tokyo before committing the alleged crime, it was learned on Wednesday. (Jiji Press)
Police raided the headquarters of Japan's largest yakuza syndicate Yamaguchi-gumi on Tuesday after 14 workers at a waste disposal plant in Kobe, western Japan, became sick after treating waste from the building early this month. (Japan Times)
Toyama Prefectural Police on Tuesday arrested a 56-year-old woman for allegedly dumping the body of her father outside their home in Takaoka City. Investigators are now working to apply murder charges, reports the Asahi Shimbun (Aug. 26). (Tokyo Reporter)