Coronavirus: China airlines post record revenue loss in February as passenger volumes plunge

Chinese airlines lost 20.96 billion yuan (US$3 billion) in February as passenger traffic plunged 84.5 per cent from a year earlier due to the coronavirus

February was expected to be a big month for air travel following the Lunar New Year holiday

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Passenger traffic on China’s airlines plunge by 84.5 per cent to 8.34 million people in February. Photo: AP

Published: 5:10pm, 12 Mar 2020Updated: 11:21pm, 12 Mar 2020

Chinese airlines posted a record loss of 20.96 billion yuan (US$3 billion) in February after tens of thousands of flights in and out of the country were cancelled because of the coronavirus outbreak, the Civil Aviation Administration of China (CAAC) said on Thursday.

Passenger traffic plunged by 84.5 per cent to 8.34 million people while cargo volumes slumped 21 per cent to 297,000 tonnes last month compared to the same time last year, data from the aviation regulator showed.

February was expected to be buoyant for air travel in China after the Lunar New Year holiday ended early in the month. But population lockdowns and nationwide travel restrictions put in place to contain the virus wreacked havoc on those plans.

The cancellation of around 10,000 flights a day, or around two thirds of total scheduled daily flights in February, has placed huge financial pressure on airlines and airports.

Flights should resume gradually as the country’s economic and social life returns to normal, the CAAC said. However, people are still reluctant to fly with the deadly outbreak still not fully under control.

In the first week of March, only 40 per cent of domestic flights had been resumed, the CAAC said. China was the initial epicentre of the coronavirus outbreak with more than 70 countries or territories putting restrictions on flights from the country.