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Global economic slowdown deteriorating aviation industry’s profit: AAPA Report

The Aviation industry is entering a challenging phase with strategic development and profitability being threatened at every step through various problems like global economic slowdown, political uncertainty, and multiplicities of operational constraints as per the reports by the Association of Asia Pacific Airlines (AAPA) on Monday.

However, Asia Pacific carriers have developed an outstanding reputation for effectively and flexibly responding to challenges over many decades. As a result, they are at the forefront of the global air transport industry.

“The emergence of Asia as a powerhouse driving the global economy during the 21st century naturally creates a sense of optimism for the region’s dynamic air transport industry in the long term,” said AAPA Director-General Andrew Herdman.

“However, success cannot be automatically assured without robust efforts to support carriers who continue to face an ever-increasing number of challenges to achieving strategic development and growth,” he said.

“Given the significant contribution that air transport makes towards wider economic and social development, governments need to adopt a much more positive attitude towards the industry, and work meaningfully towards removing obstacles that hinder the sustainable growth of the industry.”

AAPA called upon Asian governments and all industry stakeholders to work more closely together to deliver effective air traffic management services to meet present and future operational requirements. It aked for collaboration beyond national borders and commit to the development and implementation of enhanced Asia Pacific air traffic flow management systems.

With anxieties about the impact of climate change gaining increasing momentum, AAPA called on governments and operators to work together towards the effective implementation of the ICAO CORSIA scheme in a way that is fair and equitable, avoids competitive market distortion and recognizes the interests of developed and developing nations.

AAPA also called on governments to refrain from applying duplicative requirements on international aviation CO2 emissions. It also urged governments, industry and other stakeholders to establish a global and regional approach to cybersecurity built based on trust and transparency and to work together to enhance cyber threat awareness, promote culture and strengthen cyber resilience.

The governments should work closely with other aviation stakeholders towards a shared long-term vision of harmonized international practices on the facilitation of passengers with disabilities to achieve a more inclusive air transport system.

Additionally, AAPA asked for support to ICAO efforts to develop a work program on improving accessibility for passengers with disabilities, in a safe, secure and dignified manner, using evidence-based approaches that are practical and cost-effective. At a time when the industry is already having to cope with increasingly challenging business and recognizing the adverse impact on the wider travel and tourism sector, AAPA renewed its call on governments to refrain from increasing the burden of aviation levies in any form on international air travelers.

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