Air fares and staff gaps cast a shadow on transatlantic travel rebound

Airlines expect the end of COVID testing requirements in North America to accelerate a rebound in transatlantic traffic - but soaring fares due to surging fuel costs and staffing shortages may slam the brakes on rising demand in the world's largest international travel market. A US requirement that arriving air travelers test negative for COVID-19 had been blamed by carriers for dampening demand. But a week after the White House scrapped the rule, airlines are reporting a surge of interest in international travel. That's a bright spot as the industry prepares an annual meeting of the IATA in Qatar. IATA director general and former head of British Airways Willie Walsh expects airlines to prioritize key transatlantic routes that for years drove a big slice of industry profits.<br/>"I think they'll reduce capacity in other areas," Walsh told Reuters ahead of the June 19-21 Doha gathering. US airline executives have been advising customers not to delay their bookings if they are planning to go to Europe as the demand this summer is "on fire". The surge in demand, however, comes at a time when carriers on both sides of the Atlantic are grappling with staffing shortages, forcing them to cut capacity. In Europe, widespread labor strife, including short-term strikes by cabin crew over pay, has left passengers facing long-lines and flight cancellations. read more<br/>