Problems piling up in aviation industry

The aviation industry is under renewed strain after recovering from the pandemic. Airlines are now dealing with the impact of the war in Ukraine, geopolitical tensions, and a sharp rise in fuel costs, which have tripled in recent months. These pressures are accelerating consolidation, with stronger carriers gaining ground while weaker ones struggle or are absorbed, such as SAS and ITA Airways joining larger groups.

Fuel now accounts for about 50% of operating costs, up from 30%, which is likely to push ticket prices higher. Industry leaders also criticize EU regulations, especially the emissions trading system and sustainable aviation fuel mandates, calling them unrealistic given limited supply. Despite these challenges, investment in infrastructure remains essential, including Poland’s planned mega-airport, where LOT Polish Airlines aims to secure around a 50% share of traffic.

(wnp.pl)