6-May-2020 1:15 PM
IATA: Social distancing measures on aircraft would fundamentally shift the economics of aviation
IATA stated (05-May-2020) that calls for social distancing measures on aircraft would "fundamentally shift the economics of aviation" by lowering the maximum load factor to 62%. That is well below the average industry breakeven load factor of 77%. This would produce a sharp rise in unit costs, which would require a 33% to 58% increase in airfares to break even, compared to a 2019 baseline. Key regional forecasts are:
- Africa & Middle East:
- Break even load factor: 75%;
- Average fare: USD181;
- Average fare with social distancing: USD259;
- Increase: +43%;
- Asia Pacific:
- Break even load factor: 81%;
- Average fare: USD141;
- Average fare with social distancing: USD217;
- Increase: +54%;
- Europe:
- Break even load factor: 79%;
- Average fare: USD135;
- Average fare with social distancing: USD201;
- Increase: +49%;
- Latin America:
- Break even load factor: 79%;
- Average fare: USD146;
- Average fare with social distancing: USD219;
- Increase: +50%;
- North America:
- Break even load factor: 75%;
- Average fare: USD202;
- Average fare with social distancing: USD289;
- Increase: +43%;
- North Asia:
- Break even load factor: 76%;
- Average fare: USD135:
- Average fare with social distancing: USD195;
- Increase: +45%. [more - original PR]