Asian airlines, such as Cathay Pacific-Singapore Airlines, have become the primary choice for passengers seeking to avoid routes through the Middle East, driving prices on some routes up to 900%.
March 5, 2569 at 10.02:XNUMX a.m. Bloomberg reported that Asian airlines such as Cathay Pacific Airways and Singapore Airlines have emerged as the most prepared to cope with the impact of the war in the Middle East. As many passengers rush to find flights out of the region and are willing to pay significantly higher fares,
Following the US and Israeli attacks on Iran, Asian airlines have become the primary choice for passengers needing to travel from the Middle East. The closure of numerous airspaces forced Middle Eastern airlines such as Emirates and Qatar Airways to suspend many flights, opening up opportunities for other airlines that can offer direct flights between Europe and Asia. Meanwhile, many passengers at European aviation hubs have to pay significantly higher prices for seats on flights to Asia that bypass the Middle East.
for example A one-way economy class Singapore Airlines ticket from Heathrow Airport to Singapore on March 5th cost as much as HK$66,767, or approximately US$8,540, an increase of almost 900% compared to prices at the end of the same month. In comparison, flights to Hong Kong cost around HK$26,737, compared to just HK$5,670 if booked in the following weeks.
However, it remains unclear how long such soaring fares will persist. While a prolonged conflict could keep airfares high, Middle Eastern airlines are likely to resume services quickly once the situation eases, as the region is a major hub for international travel and trade.
Linus Benjamin Bauer, founder of the aviation consulting firm BAA & Partners. It was stated that Asian airlines may benefit in the short term from higher fares, cargo revenue, and a slight increase in market share.
However, he viewed this situation as merely a temporary shift in passenger flow, not a structural change to the global airline network.
Information from the consulting firm OAG Aviation. It was reported that the suspension of flights by major Gulf airlines, including Emirates, Qatar Airways, and Etihad, since Saturday has reduced global international flight capacity by more than 10%.
meanwhile Information from the company Cirium. It was reported that more than 23,000 flights had been canceled until March 5. Although there were limited evacuation flights from the United Arab Emirates, airspace in several Gulf countries, such as Qatar, Iran, and Iraq, remained closed to commercial flights.
Major airports in the Middle East, such as Dubai, Abu Dhabi, and Doha, serve as crucial transit points for long-haul travel. According to Roland Berger, airports in the Persian Gulf region handle approximately one-third of the more than 125 million travelers who journey between Europe and Asia each year.
This situation put pressure on stocks in the global aviation industry, although hopes that the war might end soon helped the market recover somewhat.
Most Middle Eastern airlines are not publicly listed, but British Airways' (IAG) parent company fell nearly 9% this week, while Lufthansa dropped 7.7% and Air France-KLM plummeted 15%. Singapore Airlines, in contrast, fell less than 7% and Cathay Pacific declined by around 5.5%.
Meanwhile, mainland Chinese airlines could also benefit from this situation, as they could increase flights to Europe through Russian airspace, a route many Western airlines have avoided since the invasion of Ukraine.
side Subhas Menon, Director of the Asia Pacific Airlines Association. They said that the security situation greatly affects travel decisions, and Middle Eastern airlines are facing immense pressure if this crisis drags on.
However, aviation industry analysts believe that once travel is safe again, most passengers are likely to return to using Middle Eastern airlines due to their extensive route networks, competitive pricing, and high-quality service.
Analysts from DBS Bank It was noted that, based on past experience, closing airspace after an attack usually doesn't significantly alter travel patterns in the long term, and travel typically returns to normal when flights resume as usual.
refer : www.bloomberg.com
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