Dubai Civil Aviation Authority president and Emirates Group chairman and CEO Sheikh Ahmed bin Saeed Al Maktoum, via his official Twitter account, confirmed (03-Jun-2020) airports in the UAE will reopen for all connecting travellers. Sheikh Al Maktoum said Emirates and flydubai will announce the resumption of additional services and connections via Dubai "shortly".
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KLM CO2 emissions down 4% in 2019 compared with 2005, 175k pax fly carbon neutral
UPS to match all carbon offsets in Jun-2020
EDF: IATA requested change to CORSIA would effectively postpone it for three to five years
Bombardier reports 2019 progress to ESG goals, including R&D and sustainable fuels
EU launches ESTiMatE project to better model soot formation in aero-engines
It is a dangerous exercise to predict airline survivors of the COVID-19 crisis, but with approximately 20 months of liquidity, Southwest Airlines is in better position than many other operators.
The airline’s lower exposure to business travellers and solid unencumbered asset base are other tools in its war chest for navigating the COVID-19 crisis. And although demand is still extremely depressed, Southwest is detecting some improvement off low bases in Jun-2020.
However, Southwest’s management is warning that if conditions do not improve quickly over the US summer, both Southwest and the airline industry at large will need to restructure radically.
Announcements concerning new airport infrastructure are rare at the moment – other than those that refer to projects being suspended or even cancelled altogether.
However, the UK’s Leeds Bradford airport (LBA) – one that is relatively underutilised given the economic power of one of the cities it represents – has chosen this time to announce a new terminal, which it hopes will help it compete with nearby Manchester Airport as the country’s ‘Northern Powerhouse’ strategy unveils further. If the application is approved, work could start before the end of 2020, with the terminal to be completed in 2023.
Manchester and Leeds-Bradford airports are approximately 45 miles apart and (with other airports) they serve an extended catchment area with a population of more than 25 million people. The Yorkshire and Humber area (planning region) is one of the fastest growing regions in the UK, with a population growth of 6% since 2001.
Ultimately, it is not new terminals or surface transport hubs that attract airlines; rather, it is business potential, and in that respect LBA has much work to do to attract new airlines when Manchester has had a full complement of them.
Premium Analysis
COVID-19: China airline capacity growth continues and plans for opening aviation markets 1-Jun-202001-Jun-2020
COVID-19: China airline capacity growth continues and plans for opening aviation markets 1-Jun-2020
Welcome to the latest edition of CAPA’s Coronavirus and Aviation global COVID-19 update, China continues airline capacity growth and plans for opening aviation markets (01-Jun-2020).
We offer this product to our active CAPA Members, as well as visitors to our website to help our industry navigate through this crisis.
The report contains a small selection of news briefs and CAPA commentary, on the US system and from each region.
Top news headlines:
- UNWTO launches global guidelines to reopen tourism;
- China to establish 'green channels' with eight nations.
Following the aviation summaries, the report contains the latest coronavirus data, globally and by country:
- More than six million cases now confirmed globally;
- Brazil overtakes US as the largest number of new cases in the last week.
The tentative return of European airline capacity is continuing. In the week commencing 25-May-2020, seat numbers in Europe have jumped by 38.9% from last week, according to schedules from OAG combined with CAPA Fleet Database seat configurations.
The year-on-year decline – a more meaningful measure – is 79.1%, which is 5.6ppts narrower than last week's 84.6% drop. Nevertheless, it is the ninth successive week of cuts of -78% to -90%.
Europe is currently on the steepest upward trend compared with other regions. Latin America is again experiencing the heaviest cuts, with a decline of 88.1% year-on-year. Seats have been reduced by 86.8% in Middle East, 80.1% in Africa, 78.9% in North America and 54.4% in Asia Pacific.
Although Europe's early stage upward trend is discernible, capacity projected by schedules filed with OAG for the summer 2020 peak months has fallen since last week and will fall further.
For demand to follow capacity upwards, consumer confidence in air travel will need to be restored. Europe's aviation industry and regulators are starting to coordinate an approach to this.
Recorded at CAPA Qatar Aviation Aeropolitical and Regulatory Summit, 5-6 Feb 2020
Consolidation And Change In The Aviation Sector: Will Economic Forces And Pressures Drive Changes In Aviation Policy?
The airline industry has undergone significant changes in the past years, with the exit of several “household names” from the market, and other carriers struggling for survival. These changes have dramatically affected consumers, and have altered the alliance ecosystem. This panel will consider:
• The role of the regulator in responding to carrier failures;
• Whether ownership and control rules are limiting or distorting the restructuring of the industry;
• The impact of national insolvency and competition rules on the restructuring process;
• Will see the emergence of truly multinational carriers?;
• Changes in carrier cooperation in a shifting competitive landscape.
CAPA Australia Pacific Aviation SummitMore
Upcoming Event
5-6
Aug
Adelaide: CAPA Australia Pacific Aviation Summit
As the region’s pre-eminent aviation strategy event, this Summit provides a critical platform for aviation executives to share their insights on airline policy, the competitive market outlook and the issues and challenges facing the region.
CAPA Americas Aviation & LCCs SummitMore
Upcoming Event
15-16
Oct
San Juan: CAPA Americas Aviation & LCCs Summit
North American airlines face a mixed outlook for 2020. The CAPA Americas Aviation & LCCs Summit provides a timely platform for the industry’s senior leaders to address challenges and opportunities in the region, and assess the competitive LCC landscape.
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4-Jun-2020 4:23 PM
IATA CEO: Industry faces headwinds of economics and confidence in travel recovery
IATA director general and CEO Alexandre de Juniac said (03-Jun-2020) there "will be at least two kinds of headwinds" to get people travelling by air again:
- Economic headwinds. The industry can be "reasonably confident in overcoming this hurdle" said Mr de Juniac. Governments have provided stimulus money to get the economy moving again and business confidence is improving. Individuals and companies that have survived without travel expenses for several months may re-assess their travel priorities, although balanced against this will be "many promotions and incentives to encourage travel";
- Confidence. This will be the bigger challenge said Mr de Juniac. According to him:
- Governments will need the confidence to re-open borders without imposing onerous quarantine measures. If governments impose quarantine measures, it is "equal to keeping their borders closed and industry grounded";
- Individual travellers will need the confidence that travel itself poses no great risks than other activities and that they won't face quarantine or disruption on arrival. [more - original PR]
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4-Jun-2020 3:09 PM
Viva Air is 'ready to absorb any and all capacity' left by Avianca and LATAM in Colombia and Peru
Viva Air CFO Jason Bewley, via his personal LinkedIn account, stated (03-Jun-2020) Viva Air is "ready to absorb any and all capacity cuts on viable routes Avianca and LATAM abandon in Colombia and Peru, particularly on domestic routes and near field international". Mr Bewley added: "The people of Colombia and Peru will be far better off financially if we are allowed to finally democratise the sky completely".
Nigerian Civil Aviation Authority confirmed (03-Jun-2020) domestic operations will gradually resume from 21-Jun-2020, following the easing of the Nigerian Government's lockdown. Operations will initially cover Abuja Nnamdi Azikiwe International Airport, Kano Mallam Aminu International Airport, Lagos Murtala Muhammed International Airport, Owerri Sam Mbakwe Airport and Port Harcourt International Airport, with other airports to be added gradually following review and assessment. Nigerian airports will remain closed to regular international services until further notice. [more - original PR]
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4-Jun-2020 12:57 PM
IATA: Apr-2020 was a disaster for aviation, but may represent the nadir of the crisis
IATA director general and CEO Alexandre de Juniac reported (03-Jun-2020) Apr-2020 was a "disaster for aviation as air travel almost entirely stopped" due to COVID-19 lockdowns and travel restrictions, but Apr-2020 "may also represent the nadir of the crisis". Mr de Juniac noted flights are increasing and countries are beginning to lift mobility restrictions, as well as business confidence is showing improvement in key markets such as China, Germany, and the US. [more - original PR]
Qatar Airways announced (03-Jun-2020) plans to increase Dublin, Milan and Rome frequency to daily from 13-Jun-2020. The additional frequencies are expected to enable connectivity via Doha to Asia Pacific destinations, particularly in Australia. [more - original PR] [more - original PR - Arabic]
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