The Association of Asia Pacific Airlines (AAPA) has urged governments to step up support for the aviation sector, as a trio threat of higher jet fuel prices, insurance premiums and heavier operating costs strain the airline industry.
Meanwhile the US and Iran continue to be in a deadlock over the disruption of the Strait of Hormuz, which normally carries around 20% of the world’s oil supply, exposed “deep vulnerabilities in jet fuel security”.
Europe is among the most exposed, with 25–30% of its jet fuel demand originating from the Persian Gulf, added the International Air Transport Association (IATA) in a 6 March report.
AAPA has urged governments to consider measures such as “providing timely threat information, maintaining clear and responsive airspace restrictions, facilitating coordinated repatriation arrangements, and considering measures to alleviate extraordinary operational costs if the situation is prolonged”.
“The aviation industry, unable to substitute jet fuel at scale, remains at the sharpest edge of the disruption, making policy intervention essential,” said the IATA report.
The Philippines' Civil Aviation Authority is the first to approve reductions in passenger service and navigation charges at government-operated airports.
Meanwhile, global airlines continue to adjust short-term capacity plans to manage fuel shortage.
Cathay Pacific Airways has just announced a further extension of all flights to and from the Middle East until the end of April, while other carriers have either cut services completely, or turned to Southeast Asian hubs to avoid conflict zones.
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