Global airlines are meeting under a storm pattern of trade tensions, rising oil prices and a 2-month-old grounding of the 737 MAX jetliner: threatening to put a halt to 5 years of strong profits in the cut-throat air travel industry. The sector's bosses converge on Seoul for a summit this weekend, but what might have been a celebration of growth in one of the world's most vibrant regions now risks being thrown off course by a crippling US-China trade spat and growing environmental pressures spreading from Europe. "The last 6 months have been pretty tough for airlines," the head of IATA said ahead of the annual meeting of the body. "Rising costs, trade wars and other uncertainties are likely to have an impact on the bottom line," IATA DG Alexandre de Juniac added. <br/>
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IATA will put forward a resolution at its forthcoming AGM in Seoul aimed at accelerating implementation of its One ID biometric identity initiative, which it says is vital to ensuring smooth passenger journeys as the air transport sector continues to expand. One ID seeks to use fingerprint, iris or facial recognition technology to reduce the need for repetitive identity checks at airports and create a seamless, end-to-end passenger process. While the technology exists, regulatory hurdles and a reluctance to share information must be overcome before widespread implementation can become a reality. "The real reason behind it [One ID] is that we're all talking about 2-times growth by 2035, and we're not going to be able to do what we do today in the same way," says IATA senior VP Nick Careen. <br/>
Flying has become deadlier than it has been for years and it’s hard to pin it solely on Boeing’s infamous 737 Max. Aircraft accidents occurred more frequently in almost every region worldwide in 2018 as the death toll climbed to a 4-year high of 523, according to IATA. So what happened to the safest form of travel? What’s clear is that demand for air travel is growing so fast -- IATA expects it to double in the next 20 years -- that airlines, plane makers and regulators are struggling to keep up. Meanwhile, the pressure to keep costs low has intensified with the proliferation of no-frills carriers catering to travellers unrelentingly obsessed with ticket prices. And the reality is that safety costs money and there’s a limit to how much the industry can spend safeguarding human life. “You get what you pay for,” said one safety scientist. <br/>
The head of Boeing acknowledged Wednesday that the company "clearly fell short" in dealing with the accident-ridden 737 MAX and said that it had not adequately communicated with regulators. CE Dennis Muilenburg's remarks to CBS News - his first interview since the global grounding of the plane - came as a top airline representative signalled that the ets could be out of service at least through mid- to late-August. Muilenburg, who has repeatedly rejected suggestions of a design flaw in the 737 MAX, acknowledged implementation shortcomings. "The implementation of this angle of attack alert was a mistake," he told CBS. "Our communication on that was not what it should have been." But Muilenburg said he believes in the plane and would have no reservations putting his family aboard. <br/>
The Russian govt has allowed non-Russian airlines to operate individual charter flights on domestic routes, according to a decree signed May 24. Prior to the ruling, foreign carriers could only fly from abroad to points in Russia. Last year, Russia’s aviation authorities allowed foreign companies to operate domestic charter flights during the FIFA 2018 World Cup. The decision was made over fears that local carriers would not be able to serve all passengers at peak times of the cup. According to Interfax, last year, carriers—performing charter flights—made several thousand applications before the FIFA World Cup. Before the FIFA 2018 World Cup, foreign carriers were allowed to operate only passenger charter flights; the new decree allows airlines to also carry cargo and post on domestic routes. <br/>
Dubai International is on track to open its southern runway Thursday evening after it was closed 45 days for refurbishment works. The closure of the runway, 1 of 2 at the airport, led Emirates to cancel many flights, while Flydubai moved some of its flights to the city’s second airport, Al Maktoum International. Flydubai said its flights that were moved to DWC have resumed as planned from Dubai International. Emirates said that it will be resuming the regular operating schedule, which includes over 1,700 flights a week. A spokesperson for the airline also said Emirates plans to ramp up operations to several regions from June 1, including destinations in Europe and Africa. Before the runway shut down, Dubai Airports explained that the southern runway was “nearing the end of its design life”. <br/>