U.S. airlines do not see speedy return of China, Japan travel demand

Published 01/17/2023, 02:29 PM
Updated 01/17/2023, 04:26 PM
© Reuters.

By David Shepardson

WASHINGTON (Reuters) - A group representing major U.S. airlines said Tuesday it does not foresee a return of significant international passenger air travel demand from either China or Japan before the end of March and sought an extension of a waiver of some U.S. COVID-19 international route requirements.

Airlines for America, a trade group representing major U.S. carriers, told the U.S. Transportation Department (USDOT) that airlines "do not foresee significant and certain international passenger growth in either China or Japan before" the expiration of a current USDOT waiver.

The group added ticket sales for the U.S.-China market as of December remained 88% below 2019 levels, adding passenger demand for both markets remains "severely depressed."

Airlines have receives a series of waivers since the start of the COVID-19 pandemic from "use-it-or-lose-it" constraints for some international services.

The group added that "international air travel to China remains severely depressed due to cumbersome, uncertain, and constantly evolving travel requirements and entry barriers."

The group cited new testing requirements for travelers from

China to the United States, implementation of revised travel and visa requirements for entry into China and the ongoing temporary refusal of tourism visa and "implementation of restrictions in other jurisdictions for travelers coming from China."

The United States imposed mandatory COVID-19 tests on travelers from China effective Jan. 5.

The airlines said entry restrictions on nationalities "suppress demand and prevent our members from being able to operate their limited-entry frequencies." The group said travel to Tokyo Haneda airport remains severely depressed.

"While Japan is starting to reopen to international travel and, as a result, the U.S.-Tokyo demand environment is improving, the pace of the rebound has been sluggish and forward-looking demand remains choppy," the group said.

© Reuters. FILE PHOTO: A Delta employee takes a picture of Delta Airlines Flight 295 to Tokyo, Japan at the newly opened Maynard H. Jackson Jr. International Terminal at Hartsfield-Jackson Atlanta International Airport in Atlanta, Georgia May 16, 2012.  REUTERS/Tami Chappell/File Photo

Passenger volumes for the U.S.-Tokyo for all of 2022 was just 19%, while the international average over that period is 56%, it said.

Delta Air Lines (NYSE:DAL) said on Friday it expects to cautiously "rebuild capacity to China in line with demand starting later this year."

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2025 - Fusion Media Limited. All Rights Reserved.