Bloomberg and Karen Ng
Asian air travel may take another three years to recover fully from the pandemic, lagging behind rebounds in other regions and offering a stern headwind for refiners making jet fuel.
It will take until 2024 for international air travel across the region to reach pre-virus levels, a year after global traffic hits that milestone, according to the International Air Transport Association.
Similarly, consultancy Energy Aspects says jet fuel consumption will reach pre-pandemic volumes only in 2023 to 2024.
Asia's jet fuel margins are still far from pre-Covid levels. Low rates of vaccination in many countries, the challenge posed by the fast-spreading delta variant, and persistent lockdowns have all set back the recovery even as the U.S. and Europe press on.
Both north America and Europe have seen strong demand during the holidays, with the European Union relaxing quarantine and lockdown requirements, according to Mayur Patel, regional sales director for Japan and Asia Pacific at OAG, an aviation analytics firm.
That came as Cathay Pacific (0293) said it carried 40,651 passengers in June, a year-on-year rise of 50 percent, but a 98.7 percent decrease compared to the pre-pandemic level in June 2019.
It carried 109,423 tonnes of cargo and mail, an increase of 17.4 percent, but a 33.3 percent decrease compared to June 2019.
In the first half, the number of passengers carried fell by 96.4 percent, while tonnage dropped by 17.6 percent.
Cathay also said its Airbus A321neo will embark on its first flight to Shanghai on August 4. The aircraft will be deployed on flights to Guangzhou, Hangzhou, Nanjing, Qingdao, Kaohsiung, and Taipei later in August.
Cathay's A321 neo is set to make its
inaugural flight to Shanghai next month.
