Dhaka, April 4 -- Malaysian long-haul low-cost carrier AirAsia X is pivoting its intercontinental strategy toward Turkey, targeting Istanbul as a new hub for European operations after geopolitical tensions derailed its earlier Gulf plans.

Capital A chief executive Tony Fernandes announced the shift at a press conference, saying the airline is close to finalizing a partnership with a major Turkish carrier.

"We're about to do a partnership with a very large Turkish airline, which will give us a huge European network," the CEO said.

Network plans originally designed for Bahrain International Airport are now being trialed in Istanbul. AirAsia X had previously planned to use Bahrain as a fifth-freedom connecting hub, with services to London...