Archaic rules, taxes as high as those imposed on alcohol and an infrastructure deficit, especially in Asia, are curbing the aviation industry’s growth, the International Air Transport Association said.
India’s aviation regulator needs to demonstrate it understands the technology behind new aircraft and it has the resources to ensure airlines follow safe practices, the U.S.Federal Aviation Administration 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.
Airlines will post record earnings next year as a wave of consolidation and streamlining prompted by the global slump helps rein in capacity and support prices, the International Air Transport Association said.
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.
Cathay Pacific Airways Ltd., Hong Kong’s largest carrier, rose the most in 10 months on the city’s stock exchange after saying reservations are “looking very good” as an economic recovery revives travel demand.
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.