China’s air traffic plunged in February
China’s commercial passenger traffic fell by a dramatic 84.5 percent in February, costing the industry US$3 billion in lost revenue due to the COVID-19 coronavirus, which is continuing its relentless march around the globe, infecting hundreds of thousands of killing more than 4,700 people. The Civil Aviation Administration of China (CAAC) said it will provide subsidies to Chinese airlines and give additional funding for international flights.
Take-off and landing charges were also being reduced to help carriers cut costs during the downturn, while airport infrastructure spending will be increased by US$14 billion during 2020.
Chinese airlines have made drastic cuts to both domestic and international air traffic, although data from aviation information provider OAG showed recently that some domestic capacity has been added back into the system. Most international carriers have cancelled services to mainland China with several pushing these suspensions into April.
The airline industry was dealt another major blow following US President Donald Trump’s imposition of a travel ban between the US and Europe, excluding the UK. The ban, which goes into effect Friday at midnight, will remain in force for 30 days.