Around The World in 140 Days: How Winter Airline Capacity is Shaping Up

For this month's aviation industry webinar, Deirdre Fulton and John Grant were joined by Eddy Pieniazek, Head of Analytics and Advisory at Ishka Aviation Finance for a look ahead to the opportunities and challenges emerging this winter season.

From airline prices to capacity trends, low-cost carriers, and the future of the Chinese airline industry, these discussions cover the length and breadth of aviation.

Airline Capacity and Airfare Trends

The talk began on a hopeful note, with the speakers expressing optimism over the forecast of airline prices in the next 12 months - barring any further significant geopolitical issues. A crucial point that emerges from the conversation is the robust growth visible in the Asia Pacific, Europe, and Latin America, the capacity trends in these regions provide much-needed optimism.

Challenges and Strategies

The challenges that ultra-low-cost carriers face were discussed, emphasizing the effect of legacy carriers shifting capacity on these low-cost airlines. The importance of China in the global airline industry was underscored, as Chinese airlines have shown considerable domestic and international capacity growth. However, predictions indicate the return of outbound Chinese travelers may not be as quick as expected.

Watch clip: John Grant on the effect of legacy airlines switching capacity to international markets.

Supply Chain Woes

The last part of the talk addressed pressing issues faced by aircraft manufacturers and airlines caused by delivery delays and supply chain disruptions. It concluded with a warning about the troubled journey ahead, especially for the winter season.

Watch clip: 7% of the global airline fleet is out for maintenance, is this a high number?

 

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