Increased competition may drive airfares to Canada lower if JetBlue gets it way. The low-cost airline has applied to begin serving our neighbor to the north, says the Globe and Mail.

Low-cost U.S. carrier JetBlue Airways Corp. is applying to launch charter and scheduled service between Canada and the United States, a move that is expected to shake up Canadian rivals and reduce transborder fares.

JetBlue, which built its reputation on a combination of low fares and in-flight services such as free snacks and seatback screens with live television, proposes to use 150-seat Airbus A320s and 100-seat Embraer ERJ-190s for new flights into Canada.

JetBlue will start flying private charter jets to and from Canada next spring and are waiting on regulatory approval to begin regular commercial service.

Domestic airlines face low-cost rival from U.S. [Globe and Mail]

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