CAPA Insights

The US Trump administration ended the de minimis tariff exemption for imports from China and Hong Kong on 02-May-2025. The exemption previously allowed parcels valued at USD800 or less, such as consumer e-commerce goods, to enter the US duty free.

Hongkong Post responded to the announcement in Apr-2025 by suspending acceptance of air postal items containing goods destined to the US.

The impacts of the changes are yet to be felt, but are expected to result in reduced demand and capacity.

Data indicates that imports to the US increased significantly in early 2025 in anticipation of the Trump administration's trade policies, but this surge is not expected to be sustained.

The US and China agreed in mid May-2025 to reduce tariffs and other trade restrictions for 90 days. However, 10% tariffs remain in place and the de minimis exemption was not reinstated.

CAPA - Centre for Aviation recaps some of the new route launches, resumptions, frequency increases and launch announcements by Chinese airlines to destinations in Europe in Mar/Apr-2025, as covered by CAPA - Centre for Aviation's daily news briefs:

SSO denotes the carrier being the "Sole Scheduled Operator" on the route, according to OAG and the CAPA Route Changes Database.

A recently published analysis from CAPA - Centre for Aviation noted that in an update of its World Economic Outlook, the International Monetary Fund (IMF) has cut its global growth forecasts.

The US and Europe are forecast to have weaker GDP growth than any other major world region, which is likely to mean weakening demand for North Atlantic air traffic. Indeed, there was a 17% year-on-year fall in visitors by air from Western Europe to the US in Mar-2025.

A GBTA poll has also shown a halving of optimism levels among travel professionals between Nov-2024 and Apr-2025. Now, the latest 'Monitoring Sentiment for Intra-European Travel' report from the European Travel Commission (CTC) reveals European travel intentions for summer 2025 have dipped. But, that is where the bad news ends.

The Association of Southeast Asian Nations (ASEAN) is a union of 10 Southeast Asian states with a combined population of 677 million. A region that holds immense potential for air traffic growth where air passenger numbers are expected to double in the next decade.

However, In its latest 'Chart of the Week' IATA identifies a widening gap between the region's larger and smaller markets and a need for ASEAN governments to work to unlock the full potential of air transport to ensure inclusive economic growth.

Thailand's Koh Samui Island is set to see a spike in tourism interest as the setting of The White Lotus' third season.

The HBO show is a cultural phenomenon and has previously seen audiences flock to the locations it films at, with Hawaii and Sicily, the settings of two previous seasons, also witnessing a tourism surge.

43 new routes launched in the region ... On 14 of the routes (33%), the carriers are the sole scheduled operators ... 19 different carriers feature in the list.

SAS accounted for the most new routes (6), followed by Condor Flugdienst (5) and Air Dolomiti, Lufthansa City Airlines and Binter Canarias (4 each).

The recent 2025 edition of Routes Asia saw plenty of discussion centred around the host city of Perth, Western Australia (WA).

WA Minister of Tourism Reece Whitby introduced the "fast growing" western gateway to delegates by underlining Perth's strategic location between Australia and Asia Pacific. He went on to describe the aviation industry as "vital" for WA, with 95% of the state's visitors arriving by air.

Tourism spending in WA reached a record AUD17.7 billion for the year ended Sep-2024 and the state government aims to grow this figure to AUD25 billion p/a by 2033.

Minister Whitby said the WA government is "determined to expand and enhance our aviation connections" and added that there is "big potential for further expansion".

Click here for more insights from Routes Asia 2025

Colombia's National Infrastructure Agency (ANI) recently announced plans to expand Bogota El Dorado International Airport, a move that will hopefully alleviate the airport's long standing capacity concerns.

West African Development Bank recently announced plans to provide Air Côte d'Ivoire with XAF30 (USD49.38 million) billion in funding for the acquisition of two Airbus A330-900neos, increasing the carrier's long haul coverage ability.

But which destinations will these new aircraft serve?

Air France and Lufthansa have recently revealed new first class cabins, both emphasising luxury, privacy and advanced technology.

Air France's La Première cabin, set to debut in spring 2025, will offer spacious suites on Boeing 777-300ER aircraft, featuring modern amenities and a high level of personalisation.

Lufthansa's Allegris first class, already operating on select A350-900s, introduces exclusive suites with options for combined sleeping arrangements and enhanced comfort features.