New Italian carrier ITA is set to bid for the Alitalia brand name through a public tender, as the airline prepares to commence operations in mid-October. ITA will start services with a fleet of 52 aircraft when it begins flights, rising to 78 in 2022. The new carrier aims to reach 105 aircraft by 2025 under a five-year plan approved by its board. While it has been created under the name Italia Trasporto Aereo, the company says it will “participate” in the tender to acquire the Alitalia name. “[We] believe that this brand is an essential element for the plan,” says ITA. ITA has been cleared to proceed to operations, following the conclusion of discussions between the Italian government and the EC which have spanned the last few months. The new carrier will be permitted to acquire assets from the flight division of Alitalia, and it will contract maintenance and handling activities through public tenders. “Over the plan period, ITA plans to rely on a single strategic partner for aircraft, and discussions are underway with the main partners,” it says, adding that “new generation” aircraft will be added to the fleet from 2022.<br/>
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The successor to bankrupt Italian flag-carrier Alitalia faces an uphill battle to establish itself after low-cost rivals took advantage of the pandemic and a long restructuring process to grab chunks of its home market. Italia Trasporto Aereo SpA, known as ITA, plans to start services on Oct. 15, after months of talks with EC officials over terms of the overhaul and aid previously granted to Alitalia finally produced a deal on Thursday. With those issues resolved, the company is set to kick off with mainly European flights and a handful of long-haul routes from Rome and Milan to New York, Boston, Tokyo and Miami. The goal is to build a leaner carrier that can focus mainly on international markets, without getting bogged down by the costs and commitments that made Alitalia a ward of the government since 2017. But ITA, at half the size of the old Alitalia, may be too small to compete against established airlines with only seven wide-body planes, and is lacking a partner after years of talks with major carriers including Lufthansa and Delta. Long-haul travel also remains hobbled by widespread border curbs, and the corporate demand that’s usually a key driver for inter-continental journeys is expected to take years to fully revive after the 16-month global pandemic. “Uncertainties are very high in long-haul markets,” said Andrea Giuricin, transportation economist at the University of Milano-Bicocca. And ITA “will hardly will have costs as low as Wizz or Ryanair.”<br/>