Nations from the U.S. to Russia and the European Union are set for a final showdown over the first- ever global commitment to designing an emissions-reduction market tool for the $708 billion airline industry.
Airline profits worldwide in 2013 will be 7.9 percent smaller than estimated at $11.7 billion amid sluggish travel demand and rising oil prices tied to the Syria crisis, the International Air Transport Association said.
Cathay Pacific Airways Ltd. Chief Executive Officer Tony Tyler will leave after three years in the job having navigated the slump, extended the carrier’s reach in China and outshone Singapore Airlines Ltd. in the stock market.
SATS Ltd., Asia’s largest provider of in-flight meals and ground-handling services, is expanding beyond stocking up Singapore Airlines Ltd.’s food trolleys to feed soldiers and pack vegetables for McDonald’s Corp.
U.S. airlines are poised to go on an international offensive following mergers and job cuts that have delivered leaner companies better able to compete with rivals from Asia and the Middle East, industry group IATA predicts.
Airline profits forecast to total $28 billion in the three years through 2012 may be unsustainable as over-capacity and looming regulatory costs weigh on margins, the head of the IATA industry association said.
Chinese airlines are in an “intolerable” position because of a spat between the country and the European Union over emissions levies, said Tony Tyler, the head of the International Air Transport Association.