Kansai International Airport in Japan will reduce landing fees for new flights by up to 80% later in the year.

Carriers that open new international routes could have fees cut to zero if they apply for extra subsidies paid by local industry groups trying to attract business to the Kansai region.

The move allows the airport to compete with other rival Asian airports. The global recession has greatly reduced travel demand, with Kansai Airport in particular facing a 34% decline in daily passenger traffic.

Airlines can benefit from the reduced fees at Kansai Airport until mid-2011.