Travel data compiled by global data provider OAG indicates that domestic capacity has been – and will continue to be – the strongest segment in the aviation industry to weather the COVID-19 storm.
A report written by OAG senior analyst, John Grant, shows that domestic markets have fared much better than international sectors. “Domestic capacity now accounts for 85% of all seats being supplied compared with 61% at the beginning of the COVID-19 outbreak,” he says.
This is most evident in what was once the epicentre of COVID-19, China, where the domestic market is reporting growth. Domestic flight capacity in north-east Asia grew at one percent week-on-week in the 13 weeks from January 20 until April 13. This was while global capacity continued to fall, with some airlines reporting capacity 90% below the levels previously planned.
“The recovery in north-east Asia is driven by an increase in capacity from China, with 600 000 additional domestic seats added during the week of April 13-17 across a number of airlines. Increasing demand and the seasonal May holidays are expected to see further recovery in this particular market,” says John.
The ‘big three’ Chinese airlines (China Southern, China Eastern and Air China) all report increases in week-on-week capacity.
China Southern has added 19% capacity in the week (April 13-17) but is still operating at less than half the capacity operated in mid-January, while China Eastern with a more modest 3% week-on-week capacity growth, is operating some 59% fewer seats than 12 weeks ago.