Two-thirds of Chinese airlines’ planes grounded over coronavirus

Two-thirds of China’s passenger planes have been grounded as travel restrictions and fear sparked by the coronavirus outbreak batter passenger numbers and force the country’s airlines to scale back operations dramatically. The total number of passengers carried by Chinese airlines from the end of the lunar new year break on January 27 to February 12 was 10.21m, down 70% compared with the same period a year ago, according to the CAAC. Less than half of all seats were filled on an average flight during the period, according to the CAAC. Across China up to 70% of aircraft are grounded as a result, according to industry analysts. While China’s big three carriers — Air China, China Eastern and China Southern — will be able to weather the storm, smaller and more indebted airlines will be vulnerable should the virus continue to spread, analysts added. “We are in uncharted waters,” said Ivan Su at Morningstar. “The bigger airlines, the Chinese state-backed ones, will get through this, as long as the virus gets contained within the next month or two.” HNA Group, a Chinese conglomerate that owns several airlines, may also be hurt, according to aviation experts.<br/>