COVID-19: Schengen-US travel ban another blow to airlines
On 12-Mar-2020 US President Trump banned entry into the United States by foreign nationals with 14-day prior travel within any of the 26 countries of Europe's Schengen zone (essentially a borderless travel region).
The ban takes effect from midnight (EDT) on 13-Mar-2020. US citizens, legal residents and certain family members will be allowed to enter through 11 approved airports.
The UK and Ireland are the most important trans Atlantic aviation markets not included in the ban. IAG's British Airways and Aer Lingus may possibly benefit from any additional traffic through their hubs in London and Dublin.
The North Atlantic is a very important source of profit for Europe's leading legacy airline groups and their US joint venture partners. Lufthansa Group, Air France-KLM and Norwegian are among those that will continue to operate at least part of their US networks.
US citizens are not included in the ban, so there will be some ongoing demand, but it is unclear whether or not continuing capacity can be filled without citizens from the European side. The possibility of significant numbers of cancellations and service suspensions will surely increase if the ban endures.
Become a CAPA Member to access Analysis Reports
Our Analysis Reports are only available to CAPA Members. CAPA Membership provides exclusive access to in-depth insights on the latest developments in the aviation and travel industry, developed by our team of dedicated analysts located in Europe, North America, Asia and Australia.
Each report offers a fresh perspective on the latest industry trends and is available online or via the CAPA mobile app, with customisable alerts to help you stay informed and identify new business opportunities.
CAPA Membership also provides access to our full suite of tools, including a tailored selection of more than 400 News Briefs every weekday and comprehensive data and analysis on thousands of companies around the world.