The reopening of China, after the end of the zero covid policy, is the “last piece of the puzzle” of the resumption of world air traffic, experts believe. Indeed, the Chinese can travel again, to America or Europe, something almost impossible for almost three years.
This is good news for world tourism, especially French tourism, but not necessarily for European airlines like Air France-KLM.
In fact, Chinese airlines enjoy a great advantage over their competitors: the possible overflight of Russia and, in particular, of Siberia. Because as part of the sanctions imposed by the European Union on Russia after the invasion of Ukraine, European companies are prohibited from flying over Russian territory.
Up to 3 hours more to reach Seoul from Paris
For the latter, the travel times to China, Japan or South Korea from Europe, as well as the return flights, are much longer and therefore more expensive in kerosene because they have to avoid the country. For a flight to Seoul, travel time from Paris can take up to 3 hours longer.
A situation that irritates the Franco-Dutch airline as it increases its connections with the Middle Kingdom with the aim of returning to at least 50% of its 2019 flight capacity in China.
For travelers, Chinese companies are therefore the fastest and potentially the least expensive to get to Beijing from Paris, for example.
Asked by BFM Business, an Air France spokesman confirms: “We are closely following the issue of distortions of competition induced by the overflight of Russia by certain non-European companies. As always, we want competition to be fair and loyal.” .
“An unfair advantage” for the head of Air France-KLM
In an interview in financial times On the occasion of the presentation of the annual results, Ben Smith, CEO of the company warns: European operators “will have a difficult time competing with their Chinese rivals as travel recovers from the closures due to Covid-19.” And to denounce “an unfair advantage” of Chinese companies.
“Airlines want to take advantage of an expected return of Chinese tourists in the coming months, including to popular shopping destinations like Paris,” the leader continues.
A finding confirmed by the FNAM, the National Aviation Federation and their trades. “The situation created in this way leads in fact to distorted competition due to the significant difference in the flight times of the Chinese and French companies,” he explains to BFM Business.
What room for manoeuvre?
This distortion is even more palpable for Northern European airlines, which are the most penalized by the ban on Russian overflights. “We think it will be very difficult to make China’s secondary cities profitable in terms of flying,” said Topi Manner, general manager of Finnair (the Finnish national carrier).
Despite this observation, the room for maneuver to restore balance seems limited.
“This issue is currently being discussed with our partners and with the competent authorities,” the Air France spokesman said, without elaborating, but “the resumption of overflights of Russia by our companies is not on the agenda of the day. “. he Warns.
On the FNAM side, it is estimated that “this type of situation can be addressed within the framework of bilateral air agreements that define the operating conditions of airlines between countries and that normally guarantee fair conditions of competition for airlines.” of the countries”. interested countries. Therefore, it is up to the French authorities to deal with this issue within the framework of the air agreement between France and China.”
Source: BFM TV
