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Impact of COVID-19 on the Global Airline Industry - Hot Topic Brief - Issue 7

Impact of COVID-19 on the Global Airline Industry - Hot Topic Brief - Issue 7

Summary

COVID-19, commonly referred to as the Coronavirus, is dominating headlines the world over. No industry has seen a greater impact than airlines.

Key Highlights

- Qantas this week announced the cancellation of most international flights until at least October as the Australian government indicated that its borders may well remain closed until 2021. This is a blow to an industry that has been looking to Asia-Pacific for signs of recovery and it may be a harbinger.
- However, not all of the news was negative as Qantas did announce that some flights to New Zealand remain scheduled due to the proposed air bridge between the two nations and this again could be a signal for a way forward - agreements between nations that are satisfied with each other's handling of the pandemic. Jetstar's announcement of increased domestic capacity is also positive and lends weight to theory that domestic travel will recover more quickly.
- American Airlines provided a glimpse into the short-term future of air travel, one which suggests airlines are taking safety protocols very seriously. The airline removed a passenger from a flight from New York to Dallas-Fort Worth after he refused to wear a mask.
- The surprise news of the week is the proposed launch of a new airline in China has been announced. The airline, which will be backed by China Eastern and Trip.com, will focus on the province of Hainan, which seems to be at the centre of a wider Chinese tourism strategy. It is not clear when the airline will launch but it nonetheless represents some positive, if highly surprising, news.
- In the UK, a number of airlines have launched a legal challenge to the government's 14 day quarantine policy. Tensions have also been intensified by a group of MPs that has labelled British Airways' treatment of staff during the pandemic "a national disgrace."

Scope

- This report provides insight into the current state of play, offers a look at potential future scenarios and assesses the actions that airlines can take to mitigate the impact of COVID-19.

Reasons to Buy

- Gain an overview of the current global COVID-19 situation
- Understand the impact that COVID-19 is having on the industry
- Explore future industry scenarios
- Assess possible mitigating actions
- Compare key industry players' actions
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Impact of COVID-19 on the Global Airline Industry - Hot Topic Brief - Issue 7
Published By :GlobalData
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