Malaysian low-cost airliner AirAsia announced today that it will launch its direct flights between China's Xi'an in Shaanxi Province and Malaysia's capital Kuala Lumpur on 2 July.

The announcement came even as the number of Chinese tourists dropped significantly following the tragic accident involving a Malaysian Airline plane that remained missing until today.

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AirAsia said the Xian-Kuala Lumpur flights will be the first non-stop service between the two cities. The flights will use an Airbus A330 aircraft to fly four round trips every week, with a one-way trip taking just five hours.

According to AirAsia's statement posted on its website, the Xian-Kuala Lumpur trip can be booked for as low as 488 yuan or around US $78.

Experts said travels from China to Malaysia have dwindled significantly when Malaysia Airline flight MH370 went missing with majority Chinese passengers.

Just a day after the accident, booked travel tours to Malaysia from China were cancelled as Chinese became apprehensive in taking Malaysia Airline planes.

The Malaysian government, however, said the cancellations will not greatly impact the local economy although it admitted that the tourism industry has started experiencing the effects of the tragedy.

In another development, Shanghai-based budget carrier Spring Airlines said it will begin the Shanghai-Singapore budget flights on 25 April, the first budget route between the two cities.

The Spring Airlines flight will depart from Shanghai Pudong International Airport every day and arrive at Changi Airport in Singapore. The return flight will leave Singapore at 7:15 pm and arrive in Shanghai within five hours.

Another Chinese carrier, China Southern Airlines, said it will launch the Urumqi-Seoul flights on 17 June, connecting China's Xinjiang Uygur region to the capital of the Republic of Korea. The route will be carried out by a Boeing 757 three times a week.