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US government dubious about growing US airline optimism

Analysis

The current level of optimism among US airlines is at a pandemic peak as bookings begin to increase. Now discussion is pivoting to an actual return of yield management, after those companies have spent the past year scrambling to set prices to match highly unpredictable levels of demand.

Those airlines are also joining a larger coalition of travel industry organisations in pushing the US government to forge a plan by May-2020 to restart international travel by the country's summer high season.

However, it is tough to predict how the government will respond to the request. At the moment, the US Centres for Disease Control (CDC) continues to warn against travel, in order to avoid a surge in cases as vaccine roll-outs continue.

Those cross-currents reflect the reality that industry faces as it works toward a full recovery - governments balancing the ongoing management of a major public health crisis while also working to jump-start their respective economies.

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