Start-up carrier Jetlines (CJL, Vancouver Int'l) plans to launch its ultra-low-cost offerings in summer 2018, reports the Financial Post.

"Canada still doesn't have a true ultra-low-cost carrier and it has some of the highest air fares in the world. The environment is perfect for this kind of opportunity," the airline's new CEO, Stan Gadek, told the news site.

It has not yet selected its hub city, but is currently considering Hamilton, ON and Kitchener.

Earlier this year, Jetlines enlisted InterVISTAS Consulting Inc to help draw up its start-up schedule for its first four B737s. It sees its greatest opportunity in the cross-border market with the US.

Elsewhere in the Canadian market, WestJet (WS, Calgary) has said that it plans to launch its own ultra-low-cost carrier later this year, but Gadek is unfazed by the competition.

"I do believe WestJet is going to try the ultra-low-cost carrier strategy, but I also believe they’re going to fail," he said. "They do not have the necessary cost for this to be successful, and they don’t have the culture in place to make it work."

Fleet-wise, Jetlines has signed a definitive purchase agreement with Boeing (BOE, Chicago O'Hare) to acquire up to twenty-one B737 MAX for delivery commencing in 2021.