Air France-KLM announced (03-Jul-2025) it will initiate proceedings to take a majority stake in SAS. The move reflects the airlines' commitment to supporting SAS in Scandinavia, with expanded reach and capabilities across Europe and beyond. SAS CEO Anko van der Werff said Air France-KLM becoming the majority owner would bring stability and allow for deeper industrial integration and the backing of a leading airline group, once regulatory approval is obtained. SAS stated the decision "reflects a broader industry trend toward consolidation - a step that is essential to ensuring long-term competitiveness for European carriers in an increasingly globalised market". [more - original PR]
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CAPA News Briefs
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Below is a sample of the latest news headlines. 136 news briefs have been published for CAPA Members in the past 2 days.
France's Government announced (01-Jul-2025) it will lead a coalition of eight countries to advocate for expanded flight taxation globally. The coalition includes Antigua and Barbuda, Barbados, Benin, Kenya, Sierra Leone, Somalia and Spain. The coalition expects to receive technical support from the European Commission. President Emmanuel Macron's office said: "The coalition will work to increase the number of countries applying flight ticket levies, including on premium travels, and to tax private jets based on best practices while ensuring upward harmonisation and greater progressivity in countries which already have such levies in place". The initiative was welcomed by climate campaigners. NGO Opportunity Green founder and CEO Aoife O'Leary said the coalition "sends a clear signal that business as usual in aviation is no longer acceptable". [more - Aviation Week]
Background ✨
France's plans to increase its solidarity tax on airline tickets as part of the 2025 Finance Bill faced strong opposition from industry bodies and airlines, which warned that the measure would threaten jobs, reduce air connectivity, damage tourism and competitiveness, and hinder investment in decarbonisation. Some airlines also announced plans to halt expansion in France and consider suspending existing routes in response to the proposed tax increase1 2 3 4 5 6 7.
US House of Representatives passed (03-Jul-2025) the revised Senate version of the budget reconciliation bill, including USD12.5 billion for the following new and upgraded air traffic control (ATC) infrastructure:
- USD4.7 billion for telecommunications infrastructure modernisation and systems upgrades;
- USD3 billion for radar systems replacement;
- USD1.9 billion for construction of a new route traffic control centre;
- USD550 million for unstaffed infrastructure sustainment and replacement;
- USD500 million for runway safety and airport surveillance projects;
- USD300 million for the US Department of Transportation and US FAA to evaluate and expedite implementation of NextGen initiatives, including performance based navigation, data communications, terminal flight data manager and aeronautical information management;
- USD50 million for remote towers.
President Donald Trump is expected to sign the bill into law on 04-Jul-2025. [more - Aviation Week]
Background ✨
The US Department of Transportation Secretary recently outlined a comprehensive plan to replace core air traffic control infrastructure, including telecommunications, radar, and facilities, with actions such as replacing 618 radars and building six new ATC centres, citing economic and national security needs for urgent modernisation1. The FY2026 federal budget proposed a 6% increase in DoT discretionary spending, prioritising NAS facility and radar upgrades2.
Ryanair renewed (03-Jul-2025) calls for European Commission President Ursula von der Leyen to "take urgent action" to reform EU air traffic control (ATC) services, after the LCC cancelled more than 400 frequencies due to ATC strikes in France on 03/04-Jul-2025. Ryanair Group CEO Michael O'Leary stated: "It is not acceptable that overflights over French airspace en route to destination are being cancelled and delayed as a result of yet another French ATC strike. It makes no sense and is abundantly unfair on EU passengers and families going on holidays". Mr O'Leary added: "While we recognise their right to strike, Europe's airlines have repeatedly called on the European Commission to protect overflights... If Ursula von der Leyen isn't willing to deliver competitiveness, isn't willing to protect the single market, isn't willing to protect overflights during national ATC strikes, then she should quit and let somebody more effective deliver the urgent ATC reform". [more - original PR] [more - original PR - II]
Background ✨
Ryanair has repeatedly urged the European Commission to address ATC staffing shortages and protect overflights during national ATC strikes, stating that 2024 was the "worst year on record for ATC disruptions" despite fewer flights than pre-pandemic levels. It estimated that resolving these issues would eliminate 90% of EU ATC delays, and highlighted the importance of overflight protection for EU connectivity and consumer fairness1 2.
Airlines for Europe (A4E) stated (03-Jul-2025) it condemns the French air traffic control (ATC) strike, which lead to the cancellation of over 1500 flights, affecting approximately 300,000 passengers. As previously reported by CAPA, France's UNSA-ICNA union called ATC staff to strike on 03/04-Jul-2025 in order to protest against management practices at Direction des Services de la Navigation Aérienne. A4E managing director Ourania Georgoutsakou said: "There is intense discussion about passenger rights in the EU right now, yet policymakers have done little to fix ATC". A4E called for a passenger protection proposal at the EU level, which would include the following measures:
- Mandatory arbitration before ATC unions can threaten strike action;
- A 21 day notice period ahead of strikes;
- 72 hour confirmation of employee participation in strikes;
- Protection for overflights in countries affected by ATC strikes, without impacting flights flying to and from affected countries;
- Right of redress with air navigation service providers for the impact of disruption. [more - original PR]
Background ✨
Ryanair also urged the European Commission to implement measures protecting passengers during French ATC strikes, advocating for legal protection of overflights and binding arbitration requirements for unions, and noted its petition on this issue had garnered over 2.1 million signatures1. Previously, A4E highlighted that last-minute strike withdrawals still resulted in extensive cancellations and emphasised the need for EU-level passenger protection proposals2.
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4-Jul-2025 12:26 PM
Aircraft interiors: A320 fleets with lie flat seats have tripled over the past decade
CAPA - Centre for Aviation, in a report entitled: 'Aircraft Interiors industry development summary: May/Jun-2025', reported (03-Jul-2025) the following industry highlights:
- Collins Aerospace has maintained its market leader position as the A320 Family business class market leader over the past decade, partially due to the successful generational shift from the Millennium platform;
- Jiatai's market share increase has been astronomical, becoming the largest line fit supplier of A320 business class seats for deliveries over the past year;
- Approximately 85% of Millennium seats in service on A320s are operated by Chinese airlines;
- The number of A320 fleets with lie flat seats has tripled over the past decade. [more - CAPA Analysis]
Background ✨
Jiatai previously supplied seats for Boeing 737s and made its first A320 seat delivery in 2018, with plans to develop widebody seats as well1. Airbus' market share in China increased significantly over the past decade, supported by its A320 final assembly line in the country2. The demand for narrowbody aircraft, particularly the A320, has remained robust, with production rates rising steadily in recent years3.
IATA, via its official Facebook account, announced (01-Jul-2025) Sweden abolished aviation tax. IATA stated: "While sustainability is still a top priority, the focus is now on advancing the #netzero agenda rather than limiting travel".
Background ✨
Industry groups such as Airlines for Europe and the German Travel Association argued that Sweden's aviation tax did not incentivise environmental improvement and weakened the competitiveness of Swedish aviation, with revenues not reinvested in decarbonisation efforts1 2. Ryanair and Norwegian welcomed the abolition, highlighting the move would free up resources for sustainable aviation and support new investment, routes, and jobs in Sweden3 4.
Kenya Airways announced (02-Jul-2025) the launch of three times weekly Nairobi-London Gatwick service. The carrier also operates daily Nairobi-London Heathrow service. [more - original PR - Kenya Airways] [more - original PR - London Gatwick Airport]
Background ✨
Kenya Airways commenced deployment of Boeing 787-8 aircraft on its daily Nairobi-London Heathrow service from 16-Jan-2025, replacing the A330-300 previously used on the route1. British Airways planned to boost its London Heathrow-Nairobi frequency to 10 times weekly between 10-Jul-2025 and 18-Aug-2025, also utilising Boeing 787-8 equipment2.
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2-Jul-2025 3:16 PM
Myanmar Airways International to relocate check in counters to Singapore Changi Airport T2
Myanmar Airways International, via its official Facebook account, announced (01-Jul-2025) plans to relocate check in counters and other flight services to Singapore Changi Airport Terminal 2 from 05-Aug-2025.
Emirates announced (01-Jul-2025) plans to deploy more retrofitted Boeing 777s and A380s on its services to Shanghai, Singapore and Zurich in response to increased demand. Details include:
- Deployment of A380 on EK302/EK303 service to Shanghai, effective 26-Oct-2025, with the second daily frequency (EK304/EK305) to be served with a retrofitted Boeing 777;
- Deployment of A380 on EK314/EK315 service to Singapore, effective 26-Oct-2025;
- Deployment of A380 on EK85/EK86 service to Zurich from 01-Feb-2026, replacing the current retrofitted 777 aircraft.
Emirates also announced plans to increase Dubai-Milan Malpensa frequency to three times daily, with the third frequency to be operated using 777-300ER aircraft, and Rio de Janeiro and Buenos Aires frequencies to daily, effective 26-Oct-2025. [more - original PR]
Background ✨
Emirates planned to serve over 70 destinations with its retrofitted A350, A380, and Boeing 777 aircraft by the end of 2025, equating to nearly half its global network. Recent deployments of retrofitted A380s and 777s included routes such as Bangkok, Hong Kong, Nice, Perth, Madrid, Kuala Lumpur, Frankfurt, and Phuket, with potential for earlier introductions if refurbishments finished ahead of schedule1 2.
Finnair cancelled (30-Jun-2025) 100 flights for 02-Jul-2025, due to planned industrial action at Helsinki-Vantaa Airport announced by the Finnish Aviation Union. The cancellations will affect approximately 7000 customers. The union also announced industrial action for 04/07/16/18/21/23-Jul-2025. [more - original PR]
Background ✨
Finnair previously cancelled approximately 128 flights on 19-Jun-2025 and 143 flights on 17-Jun-2025 due to similar industrial action by the Finnish Aviation Union at Helsinki-Vantaa Airport, with disruptions primarily impacting ground operations and essential services such as ground handling and catering1 2. The union has also scheduled additional industrial action on multiple dates in July 2025, raising the risk of further widespread cancellations3 4.
Civil Aviation Administration of China (CAAC) banned (26-Jun-2025) domestic passengers carrying power banks without accepted 3C certification, unclear 3C-certification labels, or models under recall, effective 28-Jun-2025. CAAC noted since the beginning of 2025, there were many incidents of lithium battery products such as power banks carried by passengers catching fire and emitting smoke on board. [more - original PR - Chinese]
Background ✨
Several airlines and regulators in Asia, including Air Cambodia, AirAsia, Malaysia Airlines, China Airlines, EVA Air and the Hong Kong Civil Aviation Department, recently issued bans or restrictions on the use or carriage of power banks onboard due to safety concerns following battery-related incidents on flights in 2025. These measures commonly prohibit use, charging, or stowage in overhead bins, and restrict battery capacity and certification requirements1 2 3 4 5 6.