Expectations for Passenger Demand Growth Are Difficult... Freight with Increased Rates Rises

[Image source=Yonhap News]

[Image source=Yonhap News]

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[Asia Economy Reporter Yu Je-hoon] The aviation industry plans to expand international flights again in July. This comes as the spread of the novel coronavirus disease (COVID-19) has slowed down in major countries. However, most countries are still maintaining strengthened entry control measures, and with mandatory quarantines in place, it is difficult to expect a recovery in passenger demand.


According to the aviation industry on the 15th, Korean Air and Asiana Airlines recently announced their July flight plans to resume some international routes. Korean Air plans to resume flights to Dallas, USA, and Vienna, Austria, while Asiana Airlines intends to newly resume flights to Osaka, Japan; London, UK; Paris, France; and Istanbul, Turkey.



The routes that both airlines plan to resume or increase flights on next month are trunk routes departing from Incheon, which under normal circumstances would be expected to have both passenger and cargo demand. Since it is difficult to expect passenger demand due to various COVID-19 restrictions, it is interpreted that the airlines are considering expanding air cargo operations amid recent supply reductions that have caused freight rates to surge. An industry official said, "Even the resumed international flights are showing reservation rates around 20-40%," adding, "This is more about cargo operations than immediate passenger demand recovery."


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

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