China’s three major airlines are on track to extend a lossmaking streak to a fourth year, as analysts warn that the country’s uncertain economic growth and fewer direct US flights are weighing on demand for international travel.
The three carriers’ total combined estimated net losses of up to Rmb14.3bn ($2bn) are significantly less than the combined loss of Rmb108.7bn in 2022, according to their preliminary results. But the Chinese airlines are struggling in comparison with US and European carriers, which have been reporting booming profits on a rise in airfares.
One year after China lifted its Covid-19 control restrictions, China Eastern Airlines on Tuesday evening said it expected to report a net loss of up to Rmb8.3bn for the year ending in December. Last week, Air China forecast a net loss of up to Rmb1.3bn for 2023, while China Southern Airlines said it expected to lose as much as Rmb4.7bn in the same period.
中国解除新冠防疫限制一年后，中国东方航空(China Eastern Airlines)周二晚表示，预计将报告截至去年12月的一年里净亏损至多83亿元人民币。上周，中国国际航空(Air China)预计2023年净亏损至多13亿元人民币，而中国南方航空(China Southern Airlines)预计同期亏损多达47亿元人民币。