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Asia Pacific Airlines in distress

admin Nov 4, 2020 Uncategorized 0 Comment

Preliminary September 2020 traffic figures released Wednesday by the Association of Asia Pacific Airlines (AAPA) showed that both international passenger and cargo demand is at depressed levels, with no sign of recovery in sight.

Asia Pacific Airlines still struggles to survive. (Photo: supplied)

The 1.1 million international passengers that flew on Asia Pacific airlines in September was just 3.6% of the 30 million that travelled in September 2019. Offered seat capacity was a little higher at 11% of last year’s level. The international passenger load factor was a lowly 31.7%.

Whilst manufacturing conditions further improved globally, some Asian economies continue to face weakness in exports. International air cargo demand, as measured in freight tonne-kilometres (FTK), fell by 17.5% year-on-year in September. Offered freight capacity declined by 29.9%, leading to a 10.6 percentage point increase in the average international freight load factor, to 70.6% for the month.

Commenting on the results, AAPA director-general, Subhas Menon said: “Airlines are struggling to survive as international air travel remains severely curtailed by onerous travel restrictions. Without recapitalisation or fund injections, several of the region’s carriers face an existential threat. Thousands of aviation jobs are already lost, with more at risk.”

He added: “While the establishment of green lanes and travel bubbles in the region is a positive first step, their disparate and restrictive requirements make it difficult for these to take off meaningfully. It is critical that governments implement consistent and coordinated measures based on objective risk assessment to help restore confidence in air travel. The Association remains committed to working with governments and industry stakeholders to restart international air travel safely.”

Cre: TTRW

Nguyen Xuan Nghia – COMM

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