SIA, Cathay could gain from Gulf conflict but Asia-Pacific carriers face longer-term price hikes
With closure of major Middle East air hubs, Asia airlines that fly to Europe could take on more business
Add BT as a preferred source
[SINGAPORE] As airport closures stunt travel in the Middle East, Asia-Pacific carriers could stand to benefit in the weeks to come, although a prolonged conflict could eventually mean higher air ticket and freight prices.
“With (Middle East air hubs) closed, Asia-Pacific carriers with many flights to Europe – like Singapore Airlines and Cathay Pacific – could benefit in the short run,” said Terence Fan, an assistant professor of strategy and entrepreneurship (education) at the Singapore Management University (SMU).
Linus Benjamin Bauer, founder and managing director of aviation consultancy BAA & Partners, said that in the short term, ticket prices for Europe-Asia and Middle East-Asia routes may “rise modestly to reflect higher costs”.
TRENDING NOW
On the board but frozen out: The Taib family feud tearing Sarawak construction giant apart
Is it time to scrap COE categories for cars?
Thai and Vietnamese farmers may stop planting rice because of the Iran war. Here’s why
Former manager with DBS Bank admits cheating 7 victims, including his uncle, of over S$1 million
