Airlines are bracing for significant contraction in passenger demand over the next couple of months as a result of the coronavirus, with most major supply chain routes affected by travel restrictions.
This after a minimal 2.4% increase in year-on-year numbers for January.
“January was just the tip of the iceberg in terms of the traffic impacts we are seeing owing to the Covid-19 outbreak, given that major travel restrictions in China did not begin until 23 January,” said International Air Transport Association director-general Alexandre de Juniac
“Nevertheless, it was still enough to cause our slowest traffic growth in nearly a decade,” he said..
This is the lowest monthly growth the industry has recorded since April 2010 when a volcanic ash cloud crisis brought most of Europe’s air travel to a halt.
Despite the fears and growing uncertainties surrounding the outbreak, African carriers and airlines saw the region’s traffic grow by 5.3% in January, a slight increase from the 5.1% growth recorded in December, while capacity for the region went up 5.7%.
However, according to Iata, the industry will have a clearer picture of the severity of the impact on air travel once February’s results are released. – Bjorn Vorster
