Air France will lower its capacity on its short-haul routes due to increased competition from high-speed rail routes and low-cost airlines.

The company said it would reduce its short-haul capacity by 15 percent (in terms of available seat kilometers) by the end of 2021.

Air France saw a loss of $210 million on its domestic network last year, and lost more than $779 million in the sector since 2013. The company saw mounting competition on its domestic routes from high-speed rail service TGV, which the airline said “increased capacity throughout the country, reduced journey times and developed a very competitive low-cost offer.”

It added that “on routes where high-speed trains connect Paris to the provinces in under two hours, Air France has lost 90 percent of its market share.”

Low-cost rivals like Easyjet and Ryanair are exacerbating the losses. Air France says they “set up bases at major airports and have gained ground rapidly with aggressive pricing policies and often with the help of public authorities.”

“Unlike Air France, where 90 percent of staff are based in France, a majority of these airlines have not contributed to developing employment in the regions where they operate, taking advantage of European mobility and basing employees in jurisdictions with lower labor costs,” continued the carrier.