KUALA LUMPUR (April 2): Global passenger demand for February fell 14.1% year-on-year (y-o-y) — the steepest decline since September 11, 2001, the International Air Transport Association (IATA) says.

The airline grouping said the decline reflects collapsing domestic travel in China and the sharp fall in international demand to/from and within the Asia-Pacific region, owing to the spread of Covid-19 and travel bans.

"Capacity (as measured in available seat kilometers or ASKs) for February also fell 8.7% y-o-y, as airlines scrambled to trim capacity, in line with plunging traffic, and load factor fell 4.8 percentage points to 75.9%," it said in a statement today.

“Airlines were hit by a sledgehammer, that is Covid-19, in February. Borders were closed in an effort to stop the spread of the virus. And the impact on aviation has left airlines with little to do except cut costs and take emergency measures, in an attempt to survive in these extraordinary circumstances," said IATA director-general and CEO Alexandre de Juniac.

"The 14.1% y-o-y global fall in demand is severe, but for carriers in Asia-Pacific, the drop was 41% y-o-y (in revenue passenger kilometers or RPKs). And it has only grown worse. Without a doubt, this is the biggest crisis that the industry has ever faced,” he added.

Describing the current state of the aviation sector as the "darkest hour", de Juniac said it is difficult to see a sunrise ahead, unless governments do more to support the industry through this unprecedented global crisis.

"We are grateful to those that have stepped up with relief measures, but many more need to do so. Our most recent analysis shows that airlines may burn through US$61 billion of their cash reserves during the second quarter ending June 30, 2020.

"This includes US$35 billion in sold-but-unused tickets, as a result of massive flight cancellations owing to government-imposed travel restrictions," he said.

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