Low 2Q20 Figures but Positive Signs AheadBy Alicia Arizpe | Thu, 07/23/2020 - 14:37
The global aviation and aerospace industries continue to face trouble due to COVID-19, as major manufacturers across the globe continue juggling debts. There were, however, some positive news as demand for air travel starts to pick up from the lows of May and June and airlines begin to reopen some routes. This week, Mexico’s presidential airplane also returned to the country.
Do not miss our exclusive interview with Major General Rodolfo Rodríguez Quezada, President of FAMEX, where he speaks about the future of Mexico’s aerospace industry and the promotional efforts FAMEX is undertaking to support its recovery.
Aerospace and COVID-19
Canadian manufacturer Bombardier secured a US$1 billion loan that will help it weather the COVID-19 crisis. The business jet manufacturer also reported a “better than expected cash use” during 2Q20.
British Airways announced that it was retiring its Boeing 747 jumbo jets due to the sharp reduction in passenger traffic caused by the COVID-19 pandemic. British Airways was the largest operator of Boeing 747s and while the airline had previously considered retiring them by 2024, it was forced to move this timeline due to the sharp reduction in travel demand.
Aviation Gradually Restarts
Mexican airport groups OMA and ASUR continue grappling with the sharp reduction in passenger traffic and revenues caused by the COVID-19 outbreak. Both groups reported sharp losses in their second quarter reports.
Aeroméxico, Volaris, Viva Aerobus and Interjet have announced they will reopen several routes answering the gradual increase in demand for air travel. Airlines will continue analyzing demand and the evolution of the outbreak to update their operations as necessary.
Mexico’s presidential plane returned to the country on Wednesday after 19 months on US soil. President Andrés Manuel López Obrador informed that the aircraft is still for sale and that the government was considering a potential offer that would include medical supplies in barter for the airplane.