The worsening US-China trade war and rising costs are putting pressure on airline earnings as the International Air Transport Association (IATA) cut its forecast for 2019 industry profits by more than a fifth. <\/p>\n
Net income for 2019 will probably slump to $28 billion, compared with the $35.5 billion forecast in December, according to the industry trade group. That would also represent a decline of about 7% from 2018 as the trade war is expected to hurt cargo and even passenger traffic, said IATA, which represents about 290 airlines that make up more than 80% of air traffic. <\/p>\n
\u201cMargins are being squeezed by rising costs right across the board — including labor, fuel and infrastructure,\u201d IATA Director General and Chief Executive Officer Alexandre de Juniac said in a statement on Sunday. \u201cWeakening of global trade is likely to continue as the US-China trade war intensifies. This primarily impacts the cargo business, but passenger traffic could also be impacted as tensions rise.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"
The worsening US-China trade war and rising costs are putting pressure on airline earnings as the International Air Transport Association (IATA) cut its forecast for 2019 industry profits by more than a fifth. Net income for 2019 will probably slump to $28 billion, compared with the $35.5 billion forecast in December, according to the industry trade group. That would also represent a decline of about 7% from 2018 as the trade war is expected to hurt cargo and even passenger traffic, said IATA, which represents about 290 airlines that make up more than 80% of air traffic. \u201cMargins are being […]<\/p>\n","protected":false},"author":40,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[135,167,130],"tags":[],"class_list":["post-277117","post","type-post","status-publish","format-standard","hentry","category-business-standard-newspapers","category-civil-aviation-business-standard-newspapers","category-newspapers"],"acf":[],"_links":{"self":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts\/277117","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/users\/40"}],"replies":[{"embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/comments?post=277117"}],"version-history":[{"count":0,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts\/277117\/revisions"}],"wp:attachment":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/media?parent=277117"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/categories?post=277117"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/tags?post=277117"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}