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Chinese travelers lose faith in high-speed trains


Published on Aug 25, 2011

The recent fatal crash in Zhejiang province has jolted consumer confi dence in China’s high-speed train travel. The China Daily reported that airlines are seeing a resurgence in demand for seats on the highly popular Beijing-Shanghai route. When the new rail link opened a month ago, load factors on China’s most profi table route took a 20% hit. Airlines responded with signifi cant discounts on ticket prices in a bid to retain its clientele. Since the fatal crash however, authorities have revised safety regulations and restricted train speeds, which has added to journey times. Subsequently customers have been flocking back to air travel, boosting load factors to 90%. The airlines have rescinded promotional fares in response to the market u-turn.

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