Air France announced November 12 that it will reduce the quality of its coach-class service on European flights to better compete with budget carriers and high-speed trains.

Economy passengers will be allowed just one piece of checked luggage and will receive a cheaper meal in return for a nearly 30 percent reduction in ticket prices. Each additional bag may cost economy ticket holders as much as €50.

Conversely, the company plans to upgrade business-class travel, with dedicated check-in areas and checkpoints, better food and more spacious seating areas.

The third-busiest carrier in Europe, behind Ryanair and Lufthansa, plans to implement its new model in April.

The company stated the moves are focused on its medium-haul segment and do not reduce the company to low-cost carrier status.

The international air industry has been in decline for more than one year, with Air France just one of many top airlines suffering from decreased demand and major profit losses.