25 Maret 2020

[250320.EN.AIR] Mass Groundings Develop As Coronavirus Fear Spreads Worldwide


THE world's airlines are slashing passenger capacity in response to the coronavirus scare that massively cuts air cargo capacity because most freight is flown in the bellyholds of passenger aircraft.

Now airlines are turning to the cargo market as one source of revenue by offering their passenger planes on a charter basis to air freight shippers, reports New York's FreightWaves.

Although passenger traffic is rapidly disappearing in the wake of travel bans, shippers are desperate to move cargo and find it hard to find space.

Delta Air Lines will shrink its network by 70 per cent and park at least half of its fleet - more than 600 planes - as business continues to evaporate following the US declaration of a national emergency.

Five days ago the airline said it would downsize its flight schedule by 40 per cent and ground 300 planes. Four-fifths of all international flights will be scrapped.

United Airlines plans to slash 60 per cent of its flight schedule in April, including 85 per cent of its international flights.

Montreal-based Transat has suspended sales for departures through April 30 to and from most destinations in the US, Europe, Mexico and the Caribbean. Additional cost-cutting measures will include temporary layoffs and reduction of hours or salary for many employees, the company said.

Las Vegas-based leisure airline Allegiant said it expects to cut April and May flying by up to 35 per cent and has ceased construction on two resorts to preserve cash.

JetBlue will reduce capacity 40 per cent in April and May, saying it is taking in less than US$4 million per day this month compared to an average of $22 million on a typical day a year ago, driven by fewer bookings and lower fares and a cancel rate 10 times the norm.

Alaska Airlines plans capacity reductions of 10 per cent or more for April and at least 15 per cent for May, up from three per cent.

Emirates Airlines asked pilots and cabin crews to take unpaid leave and Qatar Airways laid off about 200 workers, Reuters reported. Etihad Airways, another Gulf carrier, eliminated more flights, including to Egypt and India.

IAG Group, the parent company of British Airways, advised freight forwarders that its passenger planes are available on a charter basis.

Source : HKSG.

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