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Chinese Capacity Recovers…Global Capacity Remains Stable

The welcomed addition of another 2.9 million scheduled seats (18,200 flights) back into the Chinese domestic market provides a positive update on the impact of the Coronavirus event for the aviation industry. It also places China back as the second largest market in the world; that may purely be a coincidence.

Meanwhile the spread of Coronavirus into parts of North East Asia and Europe at the end of last week could have been expected to see large reductions in capacity this week as airlines reacted. The latest data filed with OAG over the weekend would indicate that this is not the case and that many airlines remain cautious about cutting capacity more than is necessary. Both events make for a slightly more positive picture as we enter week seven of the event.

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