TheJakartaPost
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Airlines on Monday were weighing how long to suspend Middle East flights as a conflict which has already cut off major flight routes entered a new phase after the US attacked key Iranian nuclear sites and Tehran vowed to defend itself.
Southeast Asia's biggest budget airlines are pursuing a bruising capacity expansion race despite rising cost pressures that are squeezing profitability and led Qantas Airways to shut down Singapore-based offshoot Jetstar Asia.
Airbus revised up its forecast for airplane demand over the next 20 years on Thursday, telling investors and suppliers the air transportation industry was expected to ride out the current wave of trade tensions.
While the transport minister has urged local airliners to look at buying rejected Boeing jets as an opportunity for fleet expansion, industry association INACA has called for a collected, practical stance in view of regulatory, certification and other established processes.
The government has long sought after new airlines, hoping to improve competition and lower airfares in the country’s duopoly aviation market. Flag carrier Garuda Indonesia and Lion Air are estimated to serve between 70 and 80 percent of domestic passengers annually.
