March Aviation Fuel Consumption Down 65%... Lowest in 15 Years

[Asia Economy Reporter Hwang Yoon-joo] Due to the COVID-19 pandemic, domestic aviation fuel consumption in South Korea has dropped to its lowest level in about 15 years since 2004. This is a result of governments worldwide restricting entry and exit to prevent the spread of COVID-19, causing a sharp decline in air travel demand. Not only aviation fuel but also consumption of transportation fuels such as gasoline and diesel decreased by more than 10%.

According to the Korea National Oil Corporation, aviation fuel consumption in March this year was 1.13 million barrels, down 65.4% compared to the same period last year. Consequently, domestic aviation fuel consumption in the first quarter was 7.338 million barrels, a 23.1% decrease.

The sharp decline in aviation fuel consumption is due to the global air routes being blocked by the COVID-19 crisis. As countries restrict the entry of foreigners, most domestic and international routes operated by both domestic and foreign airlines have been suspended. China, the origin of COVID-19 and the first to show signs of recovery, still restricts the entry of foreigners.

As a result, aviation fuel inventory is also in a critical state. As of the end of March, aviation fuel inventory was recorded at 8.141 million barrels, the second highest level since the Korea National Oil Corporation began compiling statistics.

The decrease in aviation fuel consumption is expected to be even greater in April. Although domestic airlines are expanding routes to Jeju, about 90% of other routes remain suspended.

Gasoline and diesel consumption also significantly declined. Gasoline consumption in March was 5.792 million barrels, down 15.09% compared to the same period last year, and diesel consumption was 12.993 million barrels, down 11.89%. Although the spread of COVID-19 has somewhat slowed, the atmosphere of refraining from outdoor activities in line with the 'social distancing' policy is believed to have contributed to this decline.

This content was produced with the assistance of AI translation services.