Chinese Airlines Loss of 142bn Yuan Under COVID-19
Eight airlines from China reported losses of around 142 billion yuan (21 billion dollars) in 2022 due to the effects of the COVID-19 pandemic in the Asian country.
Air China reported a recorded loss of 38 billion yuan ($5.63 billion), from its 2.46 billion dollars loss in 2021. China Eastern Airlines losses amounted to 5.5 billion dollars in 2022, compared to its 2.5 billion dollars losses in 2021.
The Beijing Daily newspaper cited imposed mobility limitation of the ‘zero Covid’ policy, rising oil prices and the exchange rate fluctuations as the main causes behind the airlines’ losses.
However, the Civil Aviation Administration of China recently expressed optimism for 2023 and announced that it plans to recover 75% of air traffic activity that had been lost due to the pandemic.
China has also begun to remove the ‘zero Covid’ restriction and has implemented the end of the mandatory quarantines for overseas visitors, and the restriction on international air travel which had been reduced to 5%, since March 2020.
Credit: (efe, Beijing Daily)