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China coronavirus: Cathay Pacific, Hong Kong Airlines move to halve mainland flights after government directive
- Both airlines have said they would waive rebooking, re-routing and refund charges for affected customers
- Directive could amount to a ‘mercy killing’ for struggling Hong Kong Airlines if prolonged, air travel executive says
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Cathay Pacific and Hong Kong Airlines on Tuesday said they would halve the number of mainland China flights they operate in compliance with new government directives aimed at slowing the spread of the Wuhan coronavirus.
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Hong Kong’s de facto flagship airline Cathay, with the most exposure to the mainland market, said it would progressively reduce its number of flights from January 30 until March 31.
The carrier said it was cutting mainland flights both in response to “the Government Response Plan of novel coronavirus infection” and “in view of market demand,” a reference to the months-long challenges created by anti-government protests and accompanying mainland Chinese boycott.
Cathay Pacific has seen demand for flights to and from the mainland fall by more than 20 per cent for five consecutive months.
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Reflecting on the double impact of the protests and now the coronavirus, Brendan Sobie, an independent analyst from Sobie Aviation, said: “Cathay has had to increase its reliance on sixth freedom transit traffic [flights between one foreign country and another] to offset the sharp drop in inbound demand. This situation will necessitate further network adjustments, and that could again impact its yield and profitability.”
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