{"id":109802,"date":"2021-03-17T17:11:41","date_gmt":"2021-03-17T17:11:41","guid":{"rendered":"https:\/\/fin2me.com\/?p=109802"},"modified":"2021-03-17T17:11:41","modified_gmt":"2021-03-17T17:11:41","slug":"airline-consolidation-set-back-five-years-iata-chief-says","status":"publish","type":"post","link":"https:\/\/fin2me.com\/markets\/airline-consolidation-set-back-five-years-iata-chief-says\/","title":{"rendered":"Airline consolidation set back five years, IATA chief says"},"content":{"rendered":"<p>PARIS (Reuters) &#8211; The large-scale government intervention in airlines triggered by the coronavirus crisis will hold back sector consolidation for up to five years, the head of global industry body IATA predicted on Wednesday.<\/p><figcaption>FILE PHOTO: International Air Transport Association (IATA) Director General and CEO Alexandre de Juniac speaks during the Global Media Day in Geneva, Switzerland December 5, 2017. REUTERS\/Pierre Albouy<\/figcaption><p>Alexandre de Juniac, the International Air Transport Association\u2019s outgoing director general, made the comments in an interview with Reuters as the organisation called for a new round of subsidies to weather the COVID-19 pandemic.<\/p>\n<p>\u201cGovernments have taken big stakes in many of their national airlines, so it will be difficult for them to sell this asset to any foreign actor and explain that to the taxpayer,\u201d De Juniac said. \u201cIt will be a factor that will prevent consolidation in the coming three to five years.\u201d<\/p>\n<p>Airline tie-ups already faced obstacles before the crisis, including ownership rules linked to bilateral aviation treaties. That has not prevented the emergence of multinationals such as IAG, Lufthansa and Air France-KLM that preserve national carriers within their group structures.<\/p>\n<p>Aid has further raised the hurdles by piling up debts, shielding potential targets and tying would-be buyers\u2019 hands. EU rules bar recipients such as Lufthansa and Air France-KLM from making acquisitions until bailouts are repaid.<\/p>\n<p>The IATA head, who hands over next month to IAG veteran Willie Walsh, also urged governments that have already provided $225 billion in sector aid to support a travel recovery through new air ticket and route subsidies.<\/p>\n<p>Australia last week announced plans to subsidise 800,000 domestic flights as part of a A$1.2 billion ($925 million) travel revival package.<\/p>\n<p>\u201cWe\u2019ve already seen some plans by governments to subsidise tickets, routes and domestic journeys,\u201d de Juniac said during a media briefing later on Wednesday. \u201cI urge governments to consider stimulus measures.\u201d<\/p>\n<p>After a year of partial shutdown, many airlines say they now need a significant rebound within months to survive &#8211; let alone to fund investment in cleaner aircraft and fuel technologies.<\/p>\n<p>Global airlines are discussing more ambitious climate goals than their existing pledge to halve net carbon emissions by 2050, de Juniac said, confirming earlier comments to the Financial Times.<\/p>\n<p>Nonetheless, any wider recourse to public subsidies for air travel is bound to bring some controversy.<\/p>\n<p>\u201cThe new normal is going to mean less flying, especially corporate travel, and the industry must adjust,\u201d said Andrew Murphy of the campaign group Transport &amp; Environment.<\/p>\n<p>\u201cPublic funds should be channelled into developing cleaner fuels and new plane designs, not subsidising what\u2019s still the most carbon-intensive form of travel,\u201d Murphy said.<\/p>\n<p>IATA began preparing to lobby for route subsidies soon after the pandemic erupted last year, according to internal \u201ckey messages\u201d previously reported by Reuters.<\/p>\n<p>The organisation now expects borders to have largely re-opened by October, when it plans to hold its annual gathering in Boston, four months later than first scheduled.<\/p>\n<p>($1 = 1.2965 Australian dollars)<\/p>\n<p>Source: <a href=\"https:\/\/www.reuters.com\/article\/us-health-coronavirus-airlines-iata\/airline-consolidation-set-back-five-years-iata-chief-says-idUSKBN2B92F4\" target=\"_blank\" rel=\"noopener noreferrer\">Read Full Article<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>PARIS (Reuters) &#8211; The large-scale government intervention in airlines triggered by the coronavirus crisis will hold back sector consolidation for up to five years, the [&#8230;]<\/p>\n","protected":false},"author":3,"featured_media":109801,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v21.7 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Airline consolidation set back five years, IATA chief says - Fin2me<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/fin2me.com\/markets\/airline-consolidation-set-back-five-years-iata-chief-says\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Airline consolidation set back five years, IATA chief says - Fin2me\" \/>\n<meta property=\"og:description\" content=\"PARIS (Reuters) &#8211; The large-scale government intervention in airlines triggered by the coronavirus crisis will hold back sector consolidation for up to five years, the [...]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/fin2me.com\/markets\/airline-consolidation-set-back-five-years-iata-chief-says\/\" \/>\n<meta property=\"og:site_name\" content=\"Fin2me\" \/>\n<meta property=\"article:published_time\" content=\"2021-03-17T17:11:41+00:00\" \/>\n<meta name=\"author\" content=\"Mark\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:image\" content=\"https:\/\/fin2me.com\/wp-content\/uploads\/2021\/03\/cnewsfotor128-2.jpg\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Mark\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/fin2me.com\/markets\/airline-consolidation-set-back-five-years-iata-chief-says\/\",\"url\":\"https:\/\/fin2me.com\/markets\/airline-consolidation-set-back-five-years-iata-chief-says\/\",\"name\":\"Airline consolidation set back five years, IATA chief says - Fin2me\",\"isPartOf\":{\"@id\":\"https:\/\/fin2me.com\/#website\"},\"datePublished\":\"2021-03-17T17:11:41+00:00\",\"dateModified\":\"2021-03-17T17:11:41+00:00\",\"author\":{\"@id\":\"https:\/\/fin2me.com\/#\/schema\/person\/ad0e9920e03d3b41c7ad02a18375d76a\"},\"breadcrumb\":{\"@id\":\"https:\/\/fin2me.com\/markets\/airline-consolidation-set-back-five-years-iata-chief-says\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/fin2me.com\/markets\/airline-consolidation-set-back-five-years-iata-chief-says\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/fin2me.com\/markets\/airline-consolidation-set-back-five-years-iata-chief-says\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/fin2me.com\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Markets\",\"item\":\"https:\/\/fin2me.com\/category\/markets\/\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"Airline consolidation set back five years, IATA chief says\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/fin2me.com\/#website\",\"url\":\"https:\/\/fin2me.com\/\",\"name\":\"Fin2me\",\"description\":\"\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/fin2me.com\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/fin2me.com\/#\/schema\/person\/ad0e9920e03d3b41c7ad02a18375d76a\",\"name\":\"Mark\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/fin2me.com\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/39b72719fb75a2d3c7d7695026648602?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/39b72719fb75a2d3c7d7695026648602?s=96&d=mm&r=g\",\"caption\":\"Mark\"}}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Airline consolidation set back five years, IATA chief says - Fin2me","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/fin2me.com\/markets\/airline-consolidation-set-back-five-years-iata-chief-says\/","og_locale":"en_US","og_type":"article","og_title":"Airline consolidation set back five years, IATA chief says - Fin2me","og_description":"PARIS (Reuters) &#8211; The large-scale government intervention in airlines triggered by the coronavirus crisis will hold back sector consolidation for up to five years, the [...]","og_url":"https:\/\/fin2me.com\/markets\/airline-consolidation-set-back-five-years-iata-chief-says\/","og_site_name":"Fin2me","article_published_time":"2021-03-17T17:11:41+00:00","author":"Mark","twitter_card":"summary_large_image","twitter_image":"https:\/\/fin2me.com\/wp-content\/uploads\/2021\/03\/cnewsfotor128-2.jpg","twitter_misc":{"Written by":"Mark","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/fin2me.com\/markets\/airline-consolidation-set-back-five-years-iata-chief-says\/","url":"https:\/\/fin2me.com\/markets\/airline-consolidation-set-back-five-years-iata-chief-says\/","name":"Airline consolidation set back five years, IATA chief says - Fin2me","isPartOf":{"@id":"https:\/\/fin2me.com\/#website"},"datePublished":"2021-03-17T17:11:41+00:00","dateModified":"2021-03-17T17:11:41+00:00","author":{"@id":"https:\/\/fin2me.com\/#\/schema\/person\/ad0e9920e03d3b41c7ad02a18375d76a"},"breadcrumb":{"@id":"https:\/\/fin2me.com\/markets\/airline-consolidation-set-back-five-years-iata-chief-says\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/fin2me.com\/markets\/airline-consolidation-set-back-five-years-iata-chief-says\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/fin2me.com\/markets\/airline-consolidation-set-back-five-years-iata-chief-says\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/fin2me.com\/"},{"@type":"ListItem","position":2,"name":"Markets","item":"https:\/\/fin2me.com\/category\/markets\/"},{"@type":"ListItem","position":3,"name":"Airline consolidation set back five years, IATA chief says"}]},{"@type":"WebSite","@id":"https:\/\/fin2me.com\/#website","url":"https:\/\/fin2me.com\/","name":"Fin2me","description":"","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/fin2me.com\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/fin2me.com\/#\/schema\/person\/ad0e9920e03d3b41c7ad02a18375d76a","name":"Mark","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/fin2me.com\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/39b72719fb75a2d3c7d7695026648602?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/39b72719fb75a2d3c7d7695026648602?s=96&d=mm&r=g","caption":"Mark"}}]}},"_links":{"self":[{"href":"https:\/\/fin2me.com\/wp-json\/wp\/v2\/posts\/109802"}],"collection":[{"href":"https:\/\/fin2me.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/fin2me.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/fin2me.com\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/fin2me.com\/wp-json\/wp\/v2\/comments?post=109802"}],"version-history":[{"count":0,"href":"https:\/\/fin2me.com\/wp-json\/wp\/v2\/posts\/109802\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/fin2me.com\/wp-json\/wp\/v2\/media\/109801"}],"wp:attachment":[{"href":"https:\/\/fin2me.com\/wp-json\/wp\/v2\/media?parent=109802"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/fin2me.com\/wp-json\/wp\/v2\/categories?post=109802"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/fin2me.com\/wp-json\/wp\/v2\/tags?post=109802"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}