Airline Industry Archives

Amid fears of an economic slowdown in China, one sector is not feeling the pinch. The Chinese aviation industry has continued to grow at a robust rate following the global financial crisis of 2008 and the first quarter of 2015 saw traffic from China’s airlines surpass 100m passengers for the first time. However, success has come at a high cost for the women that fuel this industry.

Action Demanded from Government as Flight Safety Concerns Linger

After an aviation meeting backed by the United Nations failed to produce any new guidance, requests are being made for the UK government to step in and offer advice to airlines on the potential threats of flying over various war zones.

US Gave Boeing At Least $5.3 Billion In Illegal Subsidies: WTO Report

The World Trade Organisation’s (WTO) Appellate Body has rejected an appeal by the US Trade Representative’s Office (USTR) to dismiss the findings from an earlier report that US plane maker Boeing Co had received “at least” $5.3 billion in illegal government subsidies between 1989 and 2006.

According to a WTO ruling in March last year, the US government provided Boeing with substantial financial aid over three decades, which subsequently cost European rival Airbus to lose over $45 billion in sales from 2002-2006.

Aviation Industry Rally Against EU Carbon Tax

Seven aviation leaders including Airbus and British Airways have written to Europe’s political leaders decrying the recently introduced EU carbon tax, arguing that the tax on pollution threatens employment stability and trade.

The signatories include plane-maker Airbus, British Airways, Virgin Atlantic, Lufthansa, Air France, Air Berlin and Iberia, who jointly submitted the letter to the leaders of Britain, France, Germany and Spain, the four countries that helped found Airbus.

Bankrupt American Airlines To Trim 13,000 Jobs

American’s third largest airline is all but soaring. AMR, parent company of the bankrupt American Airlines, is looking to slash 13,000 jobs and terminate employee pension schemes as part of plans to reduce spending by $2 billion annually.

American Airlines is looking to trim labour costs by 20 percent, a move that would see approximately 13,000 to 15,000 job losses.

On Tuesday, American Airlines CEO Thomas Horton said it was part of the plan to return to profitability, with the goal of saving $2 billion annually in costs.

Lufthansa Passes Carbon Surcharge On to Passengers Following Trade Spat

Europe’s largest long-haul carrier, Lufthansa, has said that it would pass on the higher costs of a carbon emission tax on to its passengers, following a controversial EU carbon-trading scheme.

Airfares are set to increase all over the world, as Lufthansa became the first airline on Monday to include carbon costs in its fares, after the controversial EU-Emissions Trading Scheme (ETS) kicked in on Monday.