IATA has highlighted research findings that quarantine effectively shuts down passenger demand for air travel, and is urging governments to adopt a variety of alternative measures to minimise the risk of importing coronavirus via infected passengers. The airline association’s proposed framework consists of measures to prevent sick people from traveling and to mitigate the risk of transmission should a passenger discover they have Covid-19 after their arrival. “Imposing quarantine measures on arriving travellers keeps countries in isolation and the travel and tourism sector in lockdown,” says IATA DG Alexandre de Juniac. “Fortunately, there are policy alternatives that can reduce the risk of importing Covid-19 infections while still allowing for the resumption of travel and tourism that are vital to jump-starting national economies.” Key to IATA’s strategy is discouraging people with symptoms from travelling. Airlines can assist with this by allowing customers the flexibility to rebook if they become ill or are exposed to the virus. Health declarations can also be a tool to conduct screening, along with temperature checks. IATA says 80% of surveyed travellers indicated that such checks improved their feeling of safety. The association is also urging governments to consider coronavirus testing for travellers from countries with high rates of new infections. It recommends that these take place prior to arrival at their departure airport, to avoid congestion and the potential for contagion.<br/>
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As Europe’s passenger air transport market emerges from lockdown, representatives from business and commercial aviation associations have issued an urgent call to the continent’s policy makers to “prioritise specific decarbonisation initiatives” in their allocation of future coronavirus recovery funding. In an open letter published Wednesday, the European Business Aviation Association (EBAA), General Aviation Manufacturers Association (GAMA) and 11 other industry trade bodies point to an aviation industry reeling from the “sudden collapse of the air transport system” since coronavirus hit the region in March, leaving the sector amongst the “most-heavily impacted” by the pandemic. The industry’s challenges are “compounded”, the signatories say, by the need to meet ambitious climate-change goals going forward. “Ensuring an accelerated deployment of existing decarbonisation solutions and adequate investments to bring new technologies forward will be key – investments which should be at the heart of the EU’s Covid-19 recovery strategy,” says the letter “In the meantime, existing financial instruments, such as loans, could also be made available to provide urgent relief,” it adds. Europe’s aviation sector is “committed” to contributing to the recovery of the region’s economies, the associations continue, in line with the Commission’s Green Deal objectives – which aim to make the region zero-carbon by 2050.<br/>
The WTO has delayed a decision on whether the EU can impose tariffs against the US over subsidies for Boeing , due to the impact that recent lockdowns are having on its work, three people familiar with the case said. Two of the people said the decision, originally expected in May or June, had been pushed back to at least September due to the coronavirus crisis. A third said the decision was expected as late as October, weeks before US elections.<br/>
US airlines increased the size of debt and equity fundraisings this week to nearly $10b after receiving a warm reception from investors, continuing an industry-wide capital binge triggered by the pandemic. American Airlines upped the size of its debt raising on Wednesday, shelving a $500m loan but adding another $1b to its secured bond, taking the total to $2.5b. That came on top of a $2b fundraising on Tuesday split roughly evenly between shares and convertible notes that was itself increased from $1.5b. The new bonds will be backed by American’s routes, slots and gates at airports across the globe. The company’s fundraising follows Alaska Airlines on Tuesday, which issued close to $1b of debt, up from a proposed $674m, backed by 61 aircraft, representing 28% of the airline’s fleet. Meanwhile, United is looking to raise $3b in bonds and $2b in loans by the end of the week, in a previously announced deal. “There is a lot of creativity in how to access capital,” said John McClain, a portfolio manager at Diamond Hill Capital Management. “For companies like these, anything that isn’t bolted to the wall is for sale right now.” <br/>
US safety officials will require all Boeing 737 Max airliners to be inspected for a manufacturing defect on engine coverings that they say could lead to loss of power during flights. Inspections and repairs, if needed, will be required before the grounded planes are allowed to fly again, according to a notice posted Wednesday by the FAAn. The problem is not related to the flight-control system that pushed planes into nosedives before two deadly Max crashes. The crashes in Indonesia and Ethiopia killed 346 people. However, it is another blow to Boeing's safety reputation. A spokesman for Boeing said the company recommended the inspections in December and has been working with airline customers to make sure the engine coverings are protected from electrical energy. All Max planes have been grounded since March 2019, and it is not clear whether the engine-covering defect will further push back Boeing’s goal of getting the planes back in the sky this year. <br/>
A major US pilots union said on Wednesday it has begun discussing with key lawmakers a plan for the government to purchase seats on each flight to prevent passengers from having to sit next to strangers. The idea, launched by the Allied Pilots Association (APA) representing American Airlines' 15,000 pilots, is aimed at easing a return to pre-pandemic passenger levels while creating a level playing field across the airline industry. As of now, some but not all US airlines are blocking middle seats or capping the number of seats they are selling on each flight in order to allow for more space between passengers. APA President Eric Ferguson said uniform social distancing would encourage passengers to fly more and airlines to operate more flights, thus preserving more jobs in the critical aviation industry. Under the plan, the price of empty seats would be based on industry average costs for 2019, and as immunity to COVID-19 rose, the number of empty seats bought by the government would fall.<br/>
Swissport is set to cut more than half of its UK workforce as air companies struggle with the effects of the coronavirus crisis. The firm said it was consulting on cutting up to 4,556 jobs. CE Jason Holt said the company had to reduce the size of its workforce to survive. Swissport operates at airports across the UK, including Heathrow and Gatwick, which are among those badly hit by the crisis. Air travel collapsed around the world after governments imposed travel restrictions during coronavirus lockdowns. While some airlines are making plans to start flying some routes again as lockdowns lift, Swissport has said its revenue is forecast to be almost 50% lower than last year due to the crisis. Holt said in a message to staff: "We must do this to secure the lifeline of funding from lenders and investors to protect as many jobs as possible in the UK and Ireland. It's true that we've seen tough times before - volcanic cloud, 9/11, the financial crisis - and we've weathered these. But this time it's different. We have never seen anything like Covid-19 in our lifetimes. We are now facing a long period of uncertainty and reduced flight numbers, along with significant changes taking place to the way people travel and the way goods move around the world. There is no escaping the fact that the industry is now smaller than it was, and it will remain so for some time to come."<br/>
Up to 20,000 jobs could go at Britain's airports, an industry group warned, calling on the government to do more to help an aviation industry that was shut down by the COVID pandemic and is now struggling to restart due to quarantine rules. The Airport Operators Association (AOA), which represents more than 50 airports, said future passenger numbers at UK airports were expected to be significantly lower, and analysis of its members suggested up to 20,000 jobs were at risk. Up to 110,000 jobs could be lost in industries supported by airports, AOA warned. Later on Wednesday, airport ground services and cargo handling company Swissport said it could cut up to 4,556 jobs in the UK and Ireland. AOA called on the government to scrap its quarantine regime, provide relief from business rates, extend a job retention scheme, directly fund the sector regulator and suspend air passenger taxes to help save jobs in the industry. "These jobs figures clearly show that a key component of the UK’s infrastructure is on its knees, with no relief to the current crisis expected," said AOA CE Karen Dee. "Government needs to recognise the immense crisis facing the country’s airport communities and take action to support UK aviation and protect livelihoods."<br/>
Vienna Airport plans to scrap landing fees until the end of the year to help revive air traffic and boost its revenue after the coronavirus brought it to a near standstill. The operator said Wednesday that it plans to reintroduce the landing tax from January 2021, but to offer a reduced fee per passenger to airlines that provide at least 65% of the capacity initially planned for 2020. Primarily serving as a hub to southern and eastern Europe, the airport is largely dependent on Germany’s Lufthansa , which carried more than 40% of Vienna’s passengers last year and is now battling to avoid insolvency. Normally, an airline pays a fare of E760 to land an Airbus A320 and fees per passenger at departure are E14 on average, Co-CE Julian Jaeger said. These passenger taxes could be reduced by 2 to 4 euros, depending on the destination, Jaeger said.<br/>
Some major foreign carriers have announced plans to resume flights to China following the temporary suspension of services in February due to the outbreak of Covid-19, which is expected to provide more options for travellers and help foreign carriers increase revenues. Delta will become the first carrier from the US to restart US-China passenger flights. It announced that this week, it will have two flights from Seattle to Shanghai via Seoul － one on Thursday and one on Friday. Return flights will leave from Shanghai on Saturday and Sunday. Starting next week, it will continue operating two flights weekly via Seoul to Shanghai, but one will leave from Seattle and one from Detroit. Plans call for that schedule to continue until Oct 24, Delta said. After discussions between regulators, the US and China have agreed to each allow four weekly flights connecting the two countries, easing a standoff on travel restrictions in the midst of the pandemic. "Currently, there is a serious shortage of international flights that connect Chinese and overseas cities. The relaxed policy has positive significance," said Lin Zhijie, an aviation industry analyst, who is also a columnist at Carnoc.com, one of China's biggest civil aviation websites.<br/>
A limited number of flights from Japan to Vietnam will resume this week as the country begins to ease travel restrictions put in place to curb the spread of Covid-19, Foreign Minister Toshimitsu Motegi said Tuesday. He said that three chartered flights arranged by the Japanese Chamber of Commerce and Industry in Vietnam and operated by Vietnam Airlines will depart from Narita airport from Thursday through Saturday. The three flights will be carrying around 440 business people and land at northern Vietnam's Van Don International Airport. The passengers will have to follow strict virus prevention measures, said Motegi. It remains to be seen when Vietnam will decide to reciprocate by allowing flights bound to Japan. On June 11, the Japanese government said it was planning to ease its coronavirus-linked travel restrictions this summer by allowing, at first, the entry of up to 250 business people per day from Australia, New Zealand, Thailand and Vietnam. Japan currently has an entry ban in place from 111 countries and regions, and foreign travelers who have visited countries on the banned list within two weeks would be refused entry, the foreign ministry has said.<br/>