Aer Lingus resumed (17-Sep-2021) Dublin-Toronto service on 17-Sep-2021, following an 18 month hiatus. The service will commence on a twice weekly basis until 23-Sep-2021, increasing to four times weekly until 17-Dec-2021, and daily for Christmas. [more - original PR]
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European aviation: capacity and traffic recoveries on a plateauEurope's aviation recovery remains on a plateau, with no significant change in the percentage of 2019 seat numbers or passenger numbers since early Aug-2021.
Total seat numbers in Europe are 34.2% below 2019 levels in the week of 20-Sep-2021, the eighth week in the region of -34% (after three months of a positive trend before that).
Europe remains in fourth place in the regional capacity recovery ranking. Asia Pacific, where seat capacity is down by 40.0% versus 2019, has slipped to the bottom. The Middle East is down by 39.4%, Africa by 32.6%, Latin America by 25.3% and North America by 20.0% this week.
Airport passenger numbers in Europe were down by 41% versus 2019 in the week of 5-Sep-2021, according to the most recently available data from ACI Europe. The traffic recovery is weakest in the UK, in spite of an improving trend. It is stronger in Southern Europe than in northern markets and strongest in non-EU Eastern Europe.
The easing of international travel restrictions by the UK from 4-Oct-2021 and by the US in early Nov-2021 may help to nudge Europe up from its plateau.
The decision by American Airlines and GOL to deepen their partnership is hardly surprising, and more of an evolution of their relationship as the chess pieces in Latin America are placed in position.
After being caught off guard when Delta forged a relationship with LATAM Airlines Group in 2019, American is now solidifying its position in Latin America, and is willing to pay to maintain its strength in the region – evidenced by its decision to invest in both GOL and the ultra-low cost carrier JetSMART.
The move reflects American’s recent decisions to forge what could be deemed unconventional partnerships, which in part have resulted from a certain level of necessity.
But this could also be a scenario where, ultimately, necessity is indeed the mother of invention.
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European aviation needs bigger mergers than easyJet-Wizz AirThe news of Wizz Air's rejected bid for easyJet has refocused attention on European airline consolidation and the structure of the European market.
Ryanair has taken over from Lufthansa Group as the intra-Europe leader by seats and made the biggest gain in seat share during the pandemic. Aeroflot, Turkish Airlines, Wizz Air and Pegasus have also gained seat share. Lufthansa Group and easyJet have lost share, while Air France-KLM's share is flat.
Comparison with the structure of the North American market is informative. The intra-Europe market is similar in size to intra-North America's in terms of seat capacity, but far more fragmented. The 87% share of North America's top seven equals Europe's top 25.
This report suggests a hypothetical series of combinations among Europe's top 25 that would roughly replicate the seat shares held by North America's top seven. A combined easyJet/Wizz Air, were it ever to happen, would be number two intra-Europe, but its seat share would not be top four in North America.
Europe needs much bigger deals if its market structure is to match that of North America, where consolidation has improved airline profitability.
On 14-Sep-2021 CAPA Live broadcast a wide range of discussions and interviews with industry figures. Here we provide a small selection of highlights from some of these session, including:
- VivaAerobus, CEO, Juan Carlos Zuazua
- CAPA Chairman's Update
- IATA SVP Sustainability and Environment, Sebastian MIkosz
- Eurocontrol Director General Eamonn Brennan
- CAPA-Envest presentation on CAPA's Sustainability report
- CEO Etihad, Tony Douglas Group
- President and CEO WestJet, Ed Sims
- Air New Zealand Chief Operational Integrity and Safety Officer, Capt. David Morgan
- President & CEO Bangkok Airways, Puttipong Prasarttong-Osoth
Air New Zealand has encouraged the airline industry to consider sustainability in the same way as it does air safety, in order to prioritise and collectively decarbonise aircraft emissions.
In a wide-ranging discussion at September’s CAPA Live event, Air New Zealand’s Chief Operational Integrity and Safety Officer, Captain David Morgan, detailed the airline’s commitment to decarbonise its operations, and the support it will need from suppliers and infrastructure providers to meet its objectives.
He highlighted the airline’s plans to progressively introduce sustainable aviation fuels, its active support for a SAF refining capability in New Zealand, its intention to introduce electric aircraft by 2030, and its determination to reduce waste to landfill by 60 per cent within five years.
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Recorded at CAPA Live September
CAPA Live September 2021 Highlight Reel
CAPA Live September 2021 welcomed C-level executives from around the globe to discuss the growing environmental challenge as aviation starts to recover. Speakers included:
- WestJet, CEO, Ed Sims
- Etihad, Group CEO, Tony Douglas
- VivaAerobus, CEO, Juan Carlos Zuazua
- airBaltic, Chairman of Executive Board & CEO, Martin Gauss
- PATA, CEO, Liz Orteguira
- Brussels Airlines, CEO, Peter Geber
- Bangkok Airways, President & CEO, Captain Puttipong Prasarttong-Osoth
- Icelandair Group, CEO, Bogi Bogason
CAPA Live is the most sought-after monthly global aviation event. Taking place on the second Wednesday of each month, thousands of industry colleagues from across the globe tune in for their monthly dose of aviation and travel news, analysis, and in-depth interviews with industry leaders. Register here to be part of our growing community.
CAPA - Centre for Aviation stated (21-Sep-2021) Turkish Airlines received one new Boeing 737 MAX 8 (TC-LCS, MSN 60060), as recorded by the CAPA Fleet Database. The aircraft is Turkish Airlines' 17th 737 MAX 8 and its 20th 737 MAX. The carrier has also received three 737 MAX 9s.
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22-Sep-2021 12:24 PM
JetBlue repays USD115m outstanding borrowings to US Department of the Treasury
JetBlue Airways announced (21-Sep-2021) it "voluntarily repaid its outstanding borrowings of approximately USD115 million, plus accrued interest and associated fees under its" 29-Sep-2020 loan and guarantee agreement with the US Department of the Treasury. As of 15-Sep-2021, the LCC's "obligations and commitments under the Loan Agreement were terminated in full". [more - original PR]
CAPA - Centre for Aviation stated (20-Sep-2021) Etihad Airways took delivery of one A350-1000 aircraft (A6-XWE, MSN 388) at Abu Dhabi International Airport, as recorded by the CAPA Fleet Database. The carrier has now moved five aircraft of the type to its Abu Dhabi hub since May-2021 and has a further 15 remaining on order.
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22-Sep-2021 11:06 AM
San Diego International Airport pax down 27.3% in Aug-2021, compared to Aug-2019
San Diego International Airport reported (21-Sep-2021) the following traffic highlights for Aug-2021:
- Passengers: 1.7 million, -27.3% compared to Aug-2019;
- Domestic: 1.7 million, -24.8%;
- International: 16,717, -83.2%;
- Freight: 11,612 tons, -12.2%;
- Aircraft movements: 16,408, -21.9%. [more - original PR]
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22-Sep-2021 10:46 AM
China domestic travel during 2021 Mid Autumn Festival recovers to 87% of 2019 levels
China's Ministry of Culture and Tourism, via its official WeChat account, reported (21-Sep-2021) domestic travel during the three day Mid Autumn Festival holiday, from 19-Sep-2021 to 21-Sep-2021, reached 88.16 million, recovering to 87.2% of 2019 Mid Autumn Festival holiday levels. Domestic tourism revenue recovered to 78.6% of 2019 level at CNY37.1 billion (USD5.7 billion).
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Issue 53
- There has been much talk about the post-COVID-19 industry reverting to the profile of the 1970s, but in two very important ways the real timeframe to compare is the 1930s.
Global Outlook 2020: A look into the coming decade, expect massive change
Issue 52
- If the first two decades of the century were transformational for the aviation industry, the 2020s will be revolutionary.