Qatar Airways, via its official website, stated (Dec-2021) the carrier will not accept passengers from the five Southern African countries in its network, including travellers from Luanda, Maputo, Johannesburg, Cape Town, Durban, Lusaka and Harare. In line with restrictions, the carrier will continue to accept inbound passengers to the destinations.
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AirAsia rebuilds capacity in core Malaysian domestic marketFor AirAsia there has been a welcome recovery in Malaysian domestic demand in the last part of 2021 as internal travel restrictions ease in the group’s most important market.
Third quarter operating statistics made fairly grim reading for AirAsia. The effects of the COVID-19 delta variant caused the governments in the group’s major Southeast Asian markets to impose limitations on domestic travel. This was particularly true in Malaysia and Thailand, where the AirAsia units based in those countries had to suspend most of their remaining operations.
In Malaysia, the number of new daily cases peaked at more than 600 in late Aug-2021, according to the Our World in Data website. However, the daily case count had fallen again to 173 by 24-Nov-2021.
At the same time, Malaysia’s vaccination rate continues to climb, with 76.3% of the population fully vaccinated as of 25-Nov-2021. The fully vaccinated rate for eligible adults is above 90%.
These two factors combined – daily case numbers and vaccination rate – prompted the government to lift many of its interstate travel restrictions in the fourth quarter.
For AirAsia, this means its Malaysian domestic operation can ramp up, which is important, given that the airline’s international operations remain largely halted.
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North Atlantic low cost airline opportunities - and challengesIn early Nov-2021 the US lifted its ban on non-essential arrivals by European nationals. However, the North Atlantic recovery remains somewhat cautious. North Atlantic seat numbers are at 64% of the equivalent week of 2019, versus 72% for all of Europe and 88% for all of North America (week commencing 22-Nov-2021).
Low cost operators, led by Norwegian, had established a noticeable presence on the North Atlantic in the years before the coronavirus pandemic. LCC seat share grew from almost nothing in 2013 to more than 8% in 2018, before overexpansion proved fatal to WOW air and prompted Norwegian to cease long haul operations.
In 2021 LCCs have less than 1%, divided between WestJet, French Bee and the new entrant JetBlue. The airline start-ups Norse Atlantic and PLAY also plan to enter the North Atlantic in the coming months.
Meanwhile, the seat share of the immunised JVs is up from 72% in 2018 to 79% in 2021 (albeit a share of a much smaller market).
Low cost airlines face a significant challenge, and opportunity, to re-establish their North Atlantic share.
The US ultra-low cost operator Sun Country had a unique model before the COVID-19 pandemic, and the company’s business diversification and its distinct network structure have provided the airline significant advantages during the crisis.
The airline will continue to leverage those advantages, which will result in Sun Country achieving a favourable position as it works to navigate an evolving pandemic.
Sun Country is also is not resting on its laurels; it is laying the groundwork to achieve a competitive cost position and build out its network from Minneapolis.
Europe's fleet of active passenger jets increased by 52% from the end of Jan-2021 to 22-Nov-2021. However, it is still 8% smaller than at the end of Jan-2020.
Europe's airlines now have 88% of their passenger jets in service, versus 84% for the world, according to the CAPA Fleet Database. The figure for Europe has increased from 52% at the end of Jan-2021, when the world average was 60%.
Out in front on this measure among Europe's leading airline groups are Ryanair and Wizz Air, each with 99% in service. Air France-KLM has 93%, easyJet 88%, Lufthansa Group 85%, and IAG just 83%.
Seat numbers for Europe have progressed from c.25% of 2019 levels in Jan/Feb-2021 to 71.6% in the week of 22-Nov-2021 (i.e. -28.4% versus 2019).
Europe remains fourth in the regional capacity recovery ranking. Below Europe are Asia Pacific, where capacity is down by 40.4%, and the Middle East, down by 31.3%. Ahead of Europe are Africa, down by 25.5%; Latin America, down by 16.3%; and North America, down by 12.3%.
Europe's airlines have made strong progress with both seat capacity and aircraft in service throughout 2021. However, momentum on both measures has slowed.
An unprecedented four independent airlines are set to operate jet aircraft in the Australian market next year, stimulating more previously unserved markets than ever before. Consumers can look forward to some bargain fare levels priced to stimulate demand in the recovery phase.
It all adds up to an exciting cocktail of domestic and regional network development in Australia.
CAPA Australia Pacific Aviation & Corporate Travel Summit & CAPA Live December (Sydney & Virtual)More
Upcoming Event
7-8
Dec
Sydney: CAPA Australia Pacific Aviation & Corporate Travel Summit & CAPA Live December (Sydney & Virtual)
This year’s CAPA Summit is a hybrid event which includes an in-person delegation in Sydney for local industry participants, as well as a virtual live stream for interstate and global viewers who are unable to attend.
CAPA Live DecemberMore
Upcoming Event
15
Dec
Virtual Event: CAPA Live December
At a time when the aviation industry is searching for up-to-the-minute market intelligence, news, trend analysis and thought leadership, we are delivering a virtual “Summit”, jam-packed with information, data and live interviews.
Recorded at CAPA Live November
CEO Interview with LAM Mozambique Airlines, CEO/General Manager, João Carlos Pó Jorge
Speakers:
- CAPA - Centre for Aviation, EMEA Content Editor, Richard Maslen
- LAM Mozambique Airlines, CEO/General Manager, João Carlos Pó Jorge
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1-Dec-2021 12:27 PM
East African Community launches media campaign to stimulate intra-regional travel
East African Community (EAC) launched (24-Nov-2021) a regional and domestic tourism media campaign designed to stimulate intra-regional travel. The campaign will run for three weeks from 01-Dec-2021 with the aim to encourage East Africans to travel within their own countries and around the region. EAC noted it has developed the EACPass system to validate COVID-19 testing and vaccination certificates across EAC partner states. EAC is also working to ensure that the single tourist visa initiative is adopted by all partner states. EAC expects the region to record approximately four million tourists in 2022 and about seven million p/a by 2024, compared to 2.25 million in 2020. [more - original PR]
Germany's Federal Statistical Office reported (30-Nov-2021) the following tourism highlights for Sep-2021:
- Tourist arrivals: 1.8 million, -51.2% compared to Sep-2019;
- Netherlands: 353,663, -15.2%;
- Switzerland: 189,911, -41.7%;
- Austria: 126,120, -33.9%;
- US: 112,560, -69.5%. [more - original PR]
easyJet reported (30-Nov-2021) the following financial highlights for the 12 months ended 30-Sep-2021:
- Total revenue: GBP1458 million, -51.5% year-on-year;
- Passenger: GBP1000 million, -56.6%;
- Ancillary: GBP458 million, -35.1%;
- Costs:
- Airports and ground handling: GBP446 million, -52.5%;
- Fuel: GBP371 million, -48.5%;
- Operating profit (loss): (GBP910 million), compared to a loss of GBP899 million in p-c-p;
- Net profit (loss): (GBP858 million), compared to a loss of GBP1079 million in p-c-p;
- Passengers: 20.4 million, -57.5%;
- Passenger load factor: 72.5%, -14.7pp;
- Passenger traffic (RPK): -60.0%;
- Passenger capacity (ASK): -46.5%;
- Revenue per ASK: GBP 4.37 pence, -9.4%;
- Cost per ASK: GBP 7.34 pence, -6.9%;
- Cost per ASK excluding fuel: GBP 6.23 pence, -9.1%;
- Total assets: GBP9773 million;
- Cash and cash equivalents: GBP3536 million;
- Total liabilities: GBP7134 million. [more - original PR]
easyJet reported (30-Nov-2021) the following traffic highlights for Sep-2021:
- Passengers: 4.5 million, +58% year-on-year;
- Passenger load factor: 78.5%, +6.9pp. [more - original PR]
Hong Kong Tourism Board reported (30-Nov-2021) the following tourism highlights in Oct-2021:
- Tourist arrivals: 9353, -99.7% compared to Oct-2019;
- Mainland China: 6699, -99.7%;
- Short haul markets: 1169, -99.7%;
- Long haul markets: 1142, -99.6%;
- New markets: 343, -99.2%. [more - original PR]
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Aviation returns to the 1930s
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.