Chinese carriers posted a collective net loss of CNY 1.37 billion (US$ 216 million) in May, reversed from a net profit of CNY1.88 billion…
BEIJING- Chinese carriers posted a collective net loss of CNY 1.37 billion (US$ 216 million) in May, reversed from a net profit of CNY1.88 billion year-over-year according to Air Transport World Daily News. The industry attributes the reversal to the slowdown of domestic market demand and exchange losses resulting from the recent yuan depreciation.
According to the Civil Aviation Administration of China (CAAC), domestic carriers transported 25.4 million passengers, up 5.5% over the year-ago period; cargo traffic volume rose 0.6% to 450,000 tonnes. “The growth rate of domestic market demand continues to slow down and the passenger load factors also continue to drop, especially on international routes, due to an increase in global economic uncertainties,” Ping An Securities aviation analyst Sun Chao said to ATW.
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