Editor’s Note: Up in the Air

A millennium ago, baghdad blossomed, thanks to its
position on overland trading routes from Africa, Europe and Asia. In the 16th century, Genoa profited from its strategic location on the Spanish empires sea routes.

In recent decades, Seattle has also prospered, in part because it has the closest major seaport to booming Asia-Pacific markets. But a growing portion of our high-value trade these days doesnt go by ship. Finished Boeing airplanes, of course, are
delivered by air. And the services trade whether its in the form of tourists drawn to a Seattle restaurant or Seattle architects drawing up plans in Beijing is all about moving people by passenger plane.

In this brave new world, then, an active airport may well be more important than a bustling seaport. Yet Sea-Tac Airport ranks only 15th in the United States in terms of passengers handled. Separating it from the top 10 are Newark, Orlando, Houston, Phoenix and Las Vegas.

Delta Airlines recent decision to make Sea-Tac a regional hub by adding more than 100 new daily flights during the next three years represents a big step forward. The Port of Seattle, which operates Sea-Tac Airport, estimates that every new intercontinental route from Sea-Tac generates $75 million in direct and indirect economic impact on the region. Delta has already launched flights to Beijing, Shanghai and Tokyo in the past three years. With London, Hong Kong and Seoul added by the end of this summer, Delta will operate nine of Sea-Tacs 19 international routes. To get passengers to and from those international flights, Delta is adding dozens of feeder flights from cities across the country.

The impact is huge, says Sam Kaplan, president of the Trade Development Alliance of Greater Seattle. The added flights mean more competition for Alaska Airlines certainly (see page 36). But theyre great news for the many executives in our region who travel frequently on business. The flights could also help Seattle attract more foreign investment. Seattle-area organizations, recognizing that the region has done a poor job persuading foreign firms to establish manufacturing and other facilities here, have teamed with the Brookings Institution and J.P. Morgan to find better ways to attract such investment. More direct flights to Sea-Tac can only help.

Not all Seattleites want to see Sea-Tac grow. Public opposition to its third runway delayed completion by eight years to 2008 and helped quadruple its costs to $1 billion. But the additional runway has helped Seattle become one of the top two or three airports in the world in terms of on-time departures. A proposed $250 million to $400 million international terminal would help streamline the now clumsy arrival and customs process for foreign visitors.

A busier, more efficient airport is not enough to make us a globally competitive city. But its a critical step in the right direction.

LESLIE HELM is editor of Seattle Business magazine.